We are delighted to report another strong year in our performance, driven by continued growth in our total assets, mortgages and savings balances, alongside another excellent level of profitability.
Our Society has continued to grow despite an uncertain economic environment and increased competition within the savings market. During the year we remained focused on supporting both savers and borrowers while investing in our operations to ensure we remain sustainable, scalable and relevant for the future.
For the year to 31st December 2025, our total assets increased by £21.4 million to £715.1 million. Our savings balances increased by £16.6 million to £663.9 million, while our mortgage balances grew by £46.8 million to £576.9 million, driven by gross mortgage completions of £117.5 million during the year. Mortgage arrears remained low at just 0.33% of total mortgage balances.
Our growth was supported by another strong financial performance. Our profit before tax reached £6.2 million (2024: £6.3 million). This increased our capital reserves by £4.6 million to £49.1 million. Maintaining strong capital reserves is vitally important to the Society as it provides greater financial strength and ensures it can continue to support members in achieving their financial goals.
Our balance sheet is funded entirely by customer savings balances and our own capital reserves built up from retained profits over many years.
2025 was an important year for our Society in other ways. We launched a new mobile banking app and introduced the ability for members to open savings accounts online for the first time. We also acquired premises in Abergavenny with a view to opening a new branch, and secured larger premises in Carmarthen.
Alun Williams, our Chief Executive Officer, said:
“The Society has continued to meet the needs of both savers and borrowers while delivering another strong set of results. Our continued growth in mortgage lending, savings balances and total assets has further strengthened the foundations of the Society and ensures that we remain well positioned to support members in achieving their home ownership and savings goals.
“During 2025 the Bank of England base interest rate reduced from 4.75% at the start of the year to 3.75% by the end of December. While this easing provided some relief for borrowers, we remained mindful that many households were still facing affordability pressures and we continued to take a careful and supportive approach to lending.
“The economic conditions have meant that the Society’s flexible lending policy has remained in high demand, and the Society exceeded its gross lending targets for the year. At the same time, our mortgage book has continued to show great resilience, with arrears remaining extremely low at just 0.33% of total mortgage balances.
“One of the Society’s key aims is to help savers reach their financial goals and to deliver sustainable returns over their long relationship with us. During 2025 the savings market became considerably more competitive, however, we remained focused on offering fair and competitive returns to savers while carefully managing the Society’s margins to ensure long-term financial sustainability.
“The Society continues to invest in its future to ensure it remains sustainable, scalable and relevant. During the year we successfully launched our new mobile banking app and introduced the ability for members to open savings accounts online for the first time, allowing us to reach members across Wales while continuing to complement our branch-based service model.
“We remain fully committed to our branch network and our objective of opening and not closing branches. During the year we acquired premises in Abergavenny with a view to opening a new branch, and we also secured larger premises in Carmarthen to support the continued growth of our presence in West Wales.
“I am delighted with the dedication and care shown by my colleagues in delivering the level of service that our members deserve. Our people play a vital role in the continued success of the Society, and our members benefit from dealing with loyal, motivated and well-trained staff.
“A key element of the Society’s purpose is to be socially responsible and to make a positive difference to the communities we serve. During 2025 we were proud to support a wide range of community initiatives and charitable causes, including naming Prostate Cymru as our Charity of the Year.
“The Society’s future remains very bright. With a strong capital base, a high-quality mortgage book and a clear strategic focus, we are well positioned to continue supporting our members and communities while delivering sustainable growth in the years ahead.
“I would like to thank all my colleagues for their contribution to another strong performance in 2025, and I look forward to delivering on our plans in 2026 as we continue to look after the needs of our members and communities.”
We will hold our annual general meeting at the Swansea.com Stadium on Thursday 23 April 2026. Members can vote ahead of the meeting or attend in person. We will donate £1 to Prostate Cymru for every vote received.