Cumberland Building Society steps up investment work

It also saw mortgage lending hit a record £2.2bn as the firm provided loans to more than 500 first-time buyers. However its profits before tax fell from £10.5m to £8.6m, because of increased investment in its Cumberland 2025 modernisation programme.

This is part of a major investment project by the firm which sees it offering banking services that are “kinder to people and planet”. 

Commenting on this, its chairman John Hooper said: "Our Cumberland 2025 plan will provide new digital channels, making it easier, quicker and more convenient to engage with us and manage accounts."

Its chief executive Des Moore, meanwhile, expects there to be a "noticeable reduction in profits over the next few years" as it steps up investment and cushions vulnerable customers from the rising cost of living. 

Looking ahead, Hooper said: "The Cumberland is well placed to benefit in the medium term from the planned investment. This, coupled with the strong foundations provided by its distinctive business model, will allow the society to thrive into the future."