Around 1,000 people sign petition for Nationwide members to have vote on Virgin Money deal

Nearly 1,000 people have signed a petition calling for Nationwide Building Society to give its 16 million members a vote over its decision to buy rival lender Virgin Money in a deal worth around £2.9bn.
Greg Wright
By Greg Wright

Deputy Business Editor

Published 12th Apr 2024, 13:22 BST

The campaign organiser presented the petition at Nationwide’s headquarters as he called for other members to back the campaign.

Mikael Armstrong, who started the petition on change.org, criticised the lender for “rushing through a deal to fill the pockets of Virgin Money shareholders”. Nationwide is set to take over the smaller lender, which would create Britain’s second-biggest savings and loans group. It will also see it become a far bigger player in business banking and take on the old business of Northern Rock, which was nationalised at the start of the financial crisis before being bought by Virgin Money in 2012.

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Sir Richard Branson’s Virgin Group is set to net more than £400m from the sale, as he still has a 14.5 per cent stake in the bank – which he founded in 1995.

Mikael Armstrong, organiser of the "Give Nationwide Members a say" campaign, outside Nationwide's headquarters in Swindon with a petition calling for the building society to give its 16 million members a vote over its decision to buy rival lender Virgin Money in a deal worth around £2.9 billion. (Photo by Stuart Harrison/PA Wire)Mikael Armstrong, organiser of the "Give Nationwide Members a say" campaign, outside Nationwide's headquarters in Swindon with a petition calling for the building society to give its 16 million members a vote over its decision to buy rival lender Virgin Money in a deal worth around £2.9 billion. (Photo by Stuart Harrison/PA Wire)
Mikael Armstrong, organiser of the "Give Nationwide Members a say" campaign, outside Nationwide's headquarters in Swindon with a petition calling for the building society to give its 16 million members a vote over its decision to buy rival lender Virgin Money in a deal worth around £2.9 billion. (Photo by Stuart Harrison/PA Wire)

Mr Armstrong is among the building society members to argue that the deal is not in the best interest of members.

A spokesman for Nationwide said: “Nationwide’s board believes that the acquisition of Virgin Money offers compelling benefits for the building society’s current and future members.

“Virgin Money profits retained by the Nationwide Group will improve the financial strength of our Society.

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“This means we will be able to provide a greater level of member financial benefits and incentives, including through better savings and mortgage rates compared to the market average.

“Nationwide has communicated regularly and openly with its 16 million members, including several letters and emails.

“It has also conducted widespread polling of its members, which has shown very strong support for the transaction.”

Related topics:NationwideVirgin MoneyRichard BransonBritain

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