Profits and savings balances both on the rise with Ecology Building Society

Green finance firm Ecology Building Society increased its profits and witnessed a surge in savings balances last year as it reported a solid set of results.
7 February 2017 .......  Ecology Building Society chief executive Paul Ellis at their offices in Silsden near Keighley.  Picture Tony Johnson7 February 2017 .......  Ecology Building Society chief executive Paul Ellis at their offices in Silsden near Keighley.  Picture Tony Johnson
7 February 2017 ....... Ecology Building Society chief executive Paul Ellis at their offices in Silsden near Keighley. Picture Tony Johnson

The Yorkshire-based building society increased net profits to £920,000 during 2016, up from £881,000 the year prior.

It registered record assets of £173.1m, up from £145.9m in 2015, with a strong asset growth rate of 18.59 per cent.

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The results for 2016 mark more than 30 years of uninterrupted profitability for the building society.

However gross lending fell with the Silsden-based lender to £30.7m from £42.1m the year before.

Savings balances surged to £163.1m, up from £134.7m.

A spokesman said Ecology experienced high levels of demand for savings accounts and attracted record savings inflows during the year ended December 31 and that, as the volume of savings was higher than needed to fund lending activity, the society took measures to limit the increase in funds by restricting applications for new accounts.

In 2016 Ecology lent over £30.7m for sustainable properties and projects, with 94 per cent of mortgages advanced on residential properties.

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The growth in net profit adds to Ecology’s capital base, increasing the financial strength of the Society and enhancing its ability to undertake further lending.

Chief executive Paul Ellis said: “Our financial success is based on sticking to our core principles: thinking long-term, putting our members first and focussing on our social and environmental impact.

Our priority for 2017 is to continue to grow our mortgage book, particularly supporting more and more people to renovate their homes to a high environmental standard.”

Mr Ellis is the longest-serving CEO in the building society sector in the youngest society still in existence.

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Since his appointment in 1995 he has overseen an increase in assets of nearly £150m.

The Ecology Building Society was founded by what is now called the Green Party.

It specialises in the promotion of green building best practice.

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