Wholesale Funding

As a building society we are required to fund the majority of mortgage lending with members’ savings. The balance of funding required for lending and maintaining an appropriate level of liquidity is raised via the wholesale money markets.

In line with prudential requirements the Society sources over 50% of its total funding requirements from members funds. The remaining funding is generated from the Wholesale markets.

Our funding strategy is consistently evolving, and like many financial institutions, we use other forms of funding from markets such as money market, covered bond market, securitisation market and senior unsecured bond market.

The comprehensive range of funding options available to the Society is a demonstration of the strength of credit quality which is illustrated by the strong credit ratings given by the rating agencies Fitch and Moody’s.

To ensure that the Society never relies too heavily on one source of funding, limits exist to control the proportion of funding obtained from different sources. More detail of the different funding avenues can be found using the links below.