West Brom BS provided £756m of new mortgages in the last financial year, around 3% less than last year, as the group’s chief financial and operations officer.
According to the results of its financial year ending March 31, 2022, it received £900million in new claims, compared to £1.2billion in 2020/21.
More than half, 54%, of its loans were for first-time buyers, compared to 48% last year.
Arrears in its core residential portfolio fell to 0.31% from 0.43%. This figure is lower than the UK finance average of 0.77%.
Profit before tax for the year was £23.2m, up considerably from £4.7m last year. He attributed that to strong net interest income, fair value gems, the release of provisions for residential mortgages that rose during the pandemic, and a lower business impairment charge.
Helping borrowers through the crisis
West Brom predicts the cost of living crisis will put a strain on many customers, so some may “temporarily find it difficult to meet their mortgage payments”.
He pledged to do all he can to support borrowers, adding that he “takes a compassionate, fair and flexible approach to borrowers who are unable to meet their payments”.
West Brom said helping mortgage prisoners was a key focus, having introduced products tailored to this demographic in 2020.
Over the past 12 months, he has broadened his range and called on the industry to “work with government and regulators to find new solutions to help these borrowers”.
Jonathan Westoff (Photo), managing director of West Brom, said: “Inflation and the cost of living crisis are not only at levels not seen in decades, but are driven by basic needs and daily necessities such as energy and essential nutrients. The income pressure that is becoming almost inevitable will potentially mean that some may find it temporarily difficult to meet their mortgage payments.
He added that the mutual will look to help its members “beyond having the financial strength to weather even the toughest economic downturns – it’s about helping people stay at home”.
“Beyond this, the future lies in continuing to develop our strategy to ensure that the benefits of mutuality continue to accrue to our members and other key stakeholders,” he said.
West Brom Group Finance and Operations Director Ashraf Piranie resigns
The mutual has announced that its group finance and operations director, Ashraf Piranie, will leave the company as part of a “planned restructuring” of its executive management.
As part of the restructuring, the position of Group Chief Financial and Operations Officer will no longer exist in its current form. Piranie later told the board that he did not wish to consider any other roles within the new structure.
The mutual will therefore recruit a financial director and Piranie will remain in his position until the appointment and help in the transition period.
Piranie has worked at West Brom for five years. Previously, he was Deputy Chief Executive and Chief Financial Officer of Nottingham Building Society.
He was previously deputy chief executive and chief financial officer of Islamic Bank of Britain, and chief financial officer of Alliance and Leicester’s retail banking division.