Page 6 - Pillar 3 Disclosure
P. 6


REVIEW OF THE YEAR





Overview from Paul Winter, CEO (continued)




“We can only be as successful as the 



health, happiness and prosperity of the 



communities we operate within.”












Another successful year increasing our capital base and steady growth




Results
2013 £m
2012 £m
Increase %

601
576
4
Total Assets


485
463
5
Mortgage Assets

549
524
5
Savings Balances


3.2
2.8
14
Profit Before Tax




During the year we had to balance our lending To manage this situation we had to reduce some 

aspirations whilst delivering a major IT change rates on our savings accounts. We did this by 

programme (further details are later in this ensuring closed accounts held by our existing 
document). We continued to ensure we offered an members retained rates in excess of our new 

excellent service to our members, saw retention savings accounts rates. We also continued our 

rates on our maturing products reach 95% and our parity of interest rates for Child Trust Funds and 

newest agencies in Mildenhall and Newmarket Junior ISAs.

increase their membership levels. We concentrated 
We continued our focus on lending to first time 
on prime residential mortgage lending using our 
buyers and those with low deposits through 
personal underwriting to help us meet the needs
schemes such as our 5% deposit mortgage and 
of a wide range of borrowers and ensure we 
‘sweat equity’ scheme. This latter scheme was
achieved a reasonable margin to continue to build 
in conjunction with Orwell Housing Association, 
our capital in the longer term.
where we offered a mortgage that enabled the 

Our savings balances saw significant increases in borrower to increase their equity in their new 

the first half of the year and this resulted in greater build property by completing some of the building 

funding than we required under our business plan. work themselves. This means the borrower takes 
Just like our savers, low savings rates impact on us out a smaller mortgage and therefore needs a 

too and if we hold too much liquidity it can result lower deposit.

in reducing our profitability.





6 www.ibs.co.uk



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