Yorkshire and Chelsea Building Societies agree to merger deal
After the Yorkshire and Chelsea building societies met to discuss a possible merger yesterday, it has been reported that the two plan to go ahead with the deal to create the second largest building society in the UK.
The Yorkshire is already the second largest building society in the UK to the Nationwide, and Chelsea is the fifth largest.
The move will join 2.7 million members between the two societies, plus a network of 178 branches and assets of around £35bn.
Unlike banks, building societies have members rather than customers, and each member is entitled to have a say in decisions like this. The merger deal will need to be agreed by members but if all goes to plan then the merge is aimed to be in place by April 2010.
The Yorkshire and Chelsea building societies plan to retain their brand names under the proposals, but they will run under the parent society the Yorkshire Building Society.
After talks between the Yorkshire and Chelsea building societies yesterday, it has been reported that the two plan to merge to create the second largest building society in the UK.
The Yorkshire is already the second largest building society in the UK to the Nationwide, and Chelsea is the fifth largest.
The move will join 2.7 million members between the two societies, plus a network of 178 branches and assets of around £35bn providing its members with a range of banking products including savings accounts, mortgage deals, insurance, a range of investment products and much more.
Unlike banks, building societies have members rather than customers and each member is entitled to have a say in decisions like this. The merger deal will need to be agreed by members but if all goes to plan then the merge is aimed to be in place by April 2010.
The Yorkshire and Chelsea building societies plan to retain their brand names under the proposals, but they will run under the parent society the Yorkshire Building Society.
The new society will have a greater presence through its geographical spread of branches across England, with the societies assuring that all branches are to remain operational.
According to the societies, no public money will be used in the deal.
Iain Cornish, chief executive of the Yorkshire, said that members will not experience any kind of “windfall” as economic conditions have been tightened when compared to previous building society deals.
Since the credit crunch emerged last year, there have been a number of rescue packages including takeovers and merger deals between small building societies.
In September 2008, the Nationwide staged a rescue takeover of the Cheshire and the Derbyshire.
Shortly after, the Yorkshire took over the Barnsley building society, then the Skipton took over the Scarborough.
UK Price Comparison website http://www.which4u.co.uk Compares Credit Cards, Savings Accounts, Fixed Rate Bonds, Bank Accounts, ISAs, Loans, Mortgages, Insurance, TV & Broadband and Gas/Electric bills to find the best UK deals Article Source:http://www.articlesbase.com/banking-articles/yorkshire-and-chelsea-building-societies-agree-to-merger-deal-1532494.html
Share this:
Read also:
- Should we really have to be paying ATM fees
- Pension Planning Tips
- Top 5 Stocks > Five Best Stocks to Buy – How to Pick Stocks Now
- CREDIT CARDS-AN INNOVATIVE FINANCIAL INSTRUMENT IN BANKING
- Best affairs to get rid of debt accountability in an altercation charge fewer manners
- Secure and Easy Online Payments