Regional Brands integration
Important announcement for all customers of Nationwide's regional building society brands
20 March 2014:
2 May 2013: In 2012, Nationwide Building Society announced plans to integrate its regional building society brands, the Cheshire, Derbyshire and Dunfermline into the one ‘Nationwide’ brand. Today Nationwide is setting out more details on the progress it’s making to deliver those plans.
Since the mergers with Cheshire and Derbyshire in 2008 and the takeover of the Dunfermline in 2009, Nationwide has maintained these traditional building society brands and stabilised the businesses for the benefit of members and employees, ensuring that each was able to continue to function. When the three businesses joined Nationwide at the height of the financial crisis, each had experienced a period of financial distress where they appeared likely to have difficulty in continuing to operate independently. Since then they have had stability and continued presence on the high street but the Cheshire, Derbyshire and Dunfermline have only been able to offer a restricted product range and limited ways for members to manage their money.
Nationwide has just completed a £1 billion five year investment programme to deliver even better products and services for its members and so, as a result of the integration plan, members of the Cheshire, Derbyshire and Dunfermline Building Societies will also be able to benefit from this. For example, they will gain increased access to self-service channels including a larger network of cash machines together with award winning internet and mobile banking facilities.
Once the integration is complete, we estimate around 85% of Cheshire, Derbyshire and Dunfermline customers will be within 5 miles of a Nationwide branch, compared with 70% under the current arrangements. Nationwide remains committed to a large and comprehensive branch network and expects to convert approximately half of the 91 Cheshire, Derbyshire and Dunfermline branches into Nationwide branches where they will continue to serve the communities in which they are based.
Depending upon levels of usage and proximity, the remainder of the branches in the network will either be closed or integrated into the nearest alternative Nationwide branch. At this stage, it is too soon to say with certainty what the future shape and size of Nationwide’s presence in every impacted location will be. There will be local communications to keep affected members fully informed and affected employees will be found alternative jobs where possible. Where this is not possible employees will be given access to appropriate training, support and advice that will help them find alternative work.
Nationwide’s presence in Scotland
The Society will cement its presence in Scotland and will retain Caledonia House, the former headquarters of the Dunfermline Building Society, as a customer service administration and telephone channel centre servicing members across the Nationwide Group. This, coupled with the improved access to Nationwide’s branch network, will ensure Nationwide will be in an even better position to provide a compelling alternative for customers in Scotland, where competition is even more concentrated than in other parts of the UK.
When will it happen?
Work on the integration has now begun to ensure Nationwide is represented in the right locations to meet members’ needs. The integration will be phased by each of the three regional businesses to minimise disruption to members and employees. By mid 2015 the integration of the regional brands into the main Nationwide business will be complete.
There will be local communications aimed at keeping members fully informed as we move forward. If you would like to read more about the plans there is an additional questions and answers section.