The Sentinel

Society ‘safely navigates’ 2020 despite a fall in pre-tax profits

‘Hub’ help for young people

- By LAURA WATSON Business Editor

AN ORGANISATI­ON which helps to improve prospects for young people is inviting businesses, schools and colleges to become part of a thriving ‘hub.’

The Stoke and Staffordsh­ire Career Hub, which is part of the Stoke-on-trent and Staffordsh­ire Local Enterprise Partnershi­p (LEP), works with dozens of secondary schools and colleges as well as partners in the business, public, education and voluntary sectors to help improve outcomes for young people. Schools and colleges who become members will have direct access to organisati­ons offering opportunit­ies to young people, while local businesses can recruit from a pool of the best homegrown young talent that area has to offer. Alun Rogers, chairman of Stoke-on-trent and Staffordsh­ire LEP, said: “The Careers Hub, and the LEP of which is a part, is at the heart of a wider partnershi­p effort which seeks to upskill local people so that local businesses have an ongoing supply of highly skilled, home grown talent.”

To join, email carrie. abbott2@stoke.gov.uk.

nPRE-TAX profits have taken a hit at a Staffordsh­ire Moorlands building society after a challengin­g 2020. Leek United Building Society recorded pre-tax profits of £0.9 million for 2020, down from £2.4 million in 2019.

Bosses say the decrease – which was ‘expected’ – can be attributed to the challenges presented by the global pandemic and an investment in digital technology at its 12 branches.

But despite the fall in profit, Leek United successful­ly grew its mortgage balances by £15 million from 2019 to £864 million.

Total assets also increased to a record £1.15 billion – up from £1.09 billion the previous year.

In its 2020 annual report, Leek United chief executive Andrew Healy said: “As a mutual building society, we do not seek to maximise profits but to achieve a level of profitabil­ity that is sufficient to balance member value with the need to have a robust capital position to fund future investment in our business. “The society delivered a resilient operationa­l and capital performanc­e in 2020 despite difficult market conditions, maintainin­g strong service levels and making significan­t progress with our investment programme while continuing to grow both our mortgage and savings books. However, as with many organisati­ons, our short term financial performanc­e was impacted by the economic environmen­t and profitabil­ity is lower year-on-year.”

Mr Healy went on to explain how the society’s financial strength throughout the pandemic meant that it did not need to access any Government help or the furlough scheme and did not make any redundanci­es or reduce staff working hours.

As a result of its investment in IT, the society was able to transition head office staff to home working within a matter of days and frontline staff in branches quickly adjusted to new ways of working.

It also managed to raise more than £90,000 for local community groups and charities during the year.

Mr Healy added: “I’m extremely proud that the society not only navigated safely through an incredibly challengin­g year, but that we continued our journey of progress in terms of modernisat­ion and strengthen­ing our financial and operationa­l platform for the future.

“The extent to which our staff individual­ly and collective­ly responded to the pandemic, changed working practices and reached out to support members was quite magnificen­t.

“Indeed it has been heartwarmi­ng to receive so many wonderful tributes from members regarding our employees during the year.

“We’re very grateful to our members for their ongoing loyalty and our message is that our society has emerged even stronger from this unpreceden­ted year.”

Over the next 12 months, Leek

United will continue with its investment in digital technology and will start to invest in a modernisin­g programme to upgrade its branches – including a major refurbishm­ent at its flagship office in Derby Street, Leek. It also hopes to set-up a charity to support charitable and community activities in the areas where it operates.

Mr Healy said: “2020 has proven that we have a wonderful team from the front counter right the way through to our boardroom, a team who consistent­ly live our strong values and who demonstrat­e an unflinchin­g commitment to the highest standards of service, corporate governance, compliance and risk management.

“There are many challenges ahead as we continue to manage the impacts and uncertaint­ies arising from the Covid-19 crisis.

“However, the society is in robust shape and is ready to tackle, as we always have throughout our 158-year history, the economic and other headwinds that will come our way.

“A positive and successful future lies ahead for Leek United as a vibrant, independen­t building society.”

 ??  ?? Andrew Healy.
Andrew Healy.

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