East Anglia: Norwich & Peterborough members urged to back merger with Yorkshire Building Society
NORWICH & Peterborough Building Society has begun mailing voting packs to its eligible voting members ahead of a special general meeting on August 22 to decide on its proposed merger with Yorkshire Building Society.
The proposed merger would create an enlarged society with more than three million members and 224 branches, with the 46 N&P branches retaining their name and their staff.
The board of N&P says it “strongly recommends” approval of the merger, with the alternative likely to involve further cost cutting, including branch closures.
It says the Yorkshire has signalled its intention to invest in N&P’s branch network as soon as practicable following the merger and that it will also look to restore N&P’s mortgage lending capability.
N&P mortgage customers with loans linked to or on the standard variable rate which is currently 5.35% will be switched to or linked to the Yorkshire standard variable rate which is currently 4.99%.
Gordon Horsfield, chairman of N&P, said: “As the merger booklet issued to N&P’s eligible voting members states, the board has undertaken a detailed strategic review of the options for the future of N&P and concluded unanimously that a merger with the Yorkshire is firmly in the best interests of N&P’s members.”
Members have until August 17 to return their voting forms.