The Business Exchange Bath & Somerset Issue 15: Spring 2020 | Page 11

FINANCE
Why are we here?
by Kevin Gray, Chief Executive of Bath Building Society
Kevin Gray, Chief Executive
of Bath Building Society
“...we have a greater
calling than just
making money. We
are here for a social
purpose”
Before I kick off a philosophic debate about the meaning of life and start
humming the odd Monty Python tune, the question in the title of this article
is not aimed at us as human beings, but at the business that myself and my
colleagues work for i.e. Bath Building Society (BBS).
The question could more accurately be put
as ‘why is our business here?’ For most
commercial operations, the answer to that
question would probably be something
along the lines of ‘to maximise returns for
shareholders’. For Bath Building Society
however, the answer is not that simple. We
are a mutual business that is owned by its
customers. We do need to make profits, as
that is the only source of new capital that
underpins our lending, but we do not need to
profit maximise. We can take a longer view
on investing as we are under no short-term
pressure to pay dividends to shareholders and
all profits are retained within the business.
Although we have had 115 years of success, we
are not complacent, and we wish to understand
the question so that we can better focus our
future energies.
Our management team has been
examining the ‘why?’ and has determined
that we have a greater calling than just
making money. We are here for a social
purpose. After much internal debate, that
social purpose has been identified as ‘to
change people’s lives by giving them greater
security, achieved through the promotion
of saving and by facilitating their dreams
of home ownership’. Although it is not
specifically stated, our social purpose is
particularly aimed at those in most need,
those being the young and first-time buyers.
So, what has Bath Building Society been
doing to live up to its social purpose? Is it
walking the walk? I think it is. We will soon (in
March) be launching a 5% variable (5% AER)
per annum Regular Saver account aimed
specifically at locally based 16-25 year olds to
encourage the savings habit for our younger
customers. The Society has also recently
expanded its range of inter-generational
support mortgages that have a good track
record of helping young people to get onto
the housing ladder.
The Society’s social purpose now informs
the direction of its strategy and its future
product development. If we can do anything
to help you or your family with saving for their
future or getting their own home, why not
give us a call on 01225 423271.
The Regular Saver has a deposit limit of
£10-50 a month and a withdrawal limit of 2
withdrawals per annum.
Your home may be repossessed if you do not
keep up repayments on your mortgage.
For an inter-generational mortgage, we
require a collateral charge over a parental
property and/or for the parent(s) to act as
guarantor.
Holiday Let Mortgage from a different sort of mortgage lender
Once upon a time, there was a couple who
wanted to buy a holiday cottage by the sea...
And guess what. We made it happen for them. Their story wasn’t that different to anyone else’s, but even
if it had been, we would have listened. Everybody has their own story and we always like there to be a
‘happily-ever-after’, so get in touch and we’ll help you with the next chapter of your life.
It’s your life. It’s your story. It’s our pleasure.
To find out more, call one of our mortgage experts on 01225 475737.
www.bathbuildingsociety.co.uk
Your home may be repossessed if you do not keep up the repayments on your mortgage. Telephone calls may be recorded to help the Society to maintain high standards of service delivery. Bath Investment & Building Society is authorised by the Prudential
Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority, Registration Number 206026
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THE BUSINESS EXCHANGE
2020
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