Building society reports lower profits but good outcomes for members in latest results

The building society has reported gross mortgage lending of £107 million for the year ending December 31, 2025, with volumes remaining strong, albeit down from £120 million in 2024, with new business lending consciously constrained while the society implemented a bespoke online application portal primarily for brokers.

It reported profit before tax of £1.2 million, down from £2.3 million in 2024, reflecting a return to normal interest rates and increased investment.

The society celebrated the opening of a new fifth branch in Codsall and the initiation of ‘Tipton Tomorrow’, a multi-year transformation plan.

It also reports £53 million added in retail savings deposits, taking total savings balances to a record level of £577 million, up from £524 million in 2024.

The business also delivered value to savers resulting in members receiving rates 1.25 per cent above the market average, equivalent to £6.9 million in additional interest.

Each year, the society pledges to contribute up to five per cent of profit before tax back into the community and in 2025 it donated £55,000 to causes including Black Country Foodbank, Midlands Air Ambulance Charity and White House Cancer Support. Meanwhile staff carried out an estimated 240 hours of voluntary work.

Adam Evetts, chief executive of Tipton & Coseley Building Society, said of the results: “Despite operating in a highly competitive market, we have achieved good results, while commencing ambitious plans for the society’s future.

“Financial performance remained robust, though lower than recorded in recent years which had been impacted by the rising bank rate environment. This has now abated as interest rates return to more normal levels.

“We have maintained our focus on providing products and services that customers truly value, while carefully managing our net interest margin, improving operational efficiency and keeping tight control over our cost base.

“Importantly, we have started delivery of a substantial transformation plan, Tipton Tomorrow, designed to modernise how we work and help us adapt to changing customer needs.

“The first steps involved developing a new mortgage origination platform to streamline our underwriting practices. Once in use, the platform will ensure high levels of customer service, reduce our application to offer times and create capacity for future growth.

“This project accounts for the slight reduction in lending volumes during 2025. We temporarily scaled back new lending to protect service standards so teams could focus on delivering such a key infrastructure change.

“Tipton Tomorrow progresses into 2026 and beyond, encompassing our IT estate, business processes and branch network. It will see us create modern retail and working environments, starting with our Tipton head office which is undergoing a full renovation.

“Competition in the sector remains intense, particularly for savings. Nevertheless, our attractive rates helped us retain existing balances and welcome many new savers. We also extended our product range to feature business savings accounts and joined a deposit aggregator platform, connecting us to people who might not traditionally save with the Tipton.

“The trend of mainstream banks withdrawing from the high street continues, however we remain committed to providing branch-based services for our customers. We are delighted to have expanded into Codsall, our first new branch location for over 30 years.

“This is a further illustration of our commitment to helping local communities, ensuring access to vital facilities, and offering financial contributions and volunteer support to charities and groups active in those areas.

“We are proud of our achievements and look forward to a milestone year in 2026, when we will celebrate the Tipton’s 125th anniversary. Our strategy is defined, built around a clear vision and purpose, so we can continue to thrive as an independent building society, firmly rooted in the Black Country.”