Mortgage book growth announced by Principality Building Society

August 14, 2025 by Heidi

General

Principality Building Society has revealed its lending figures for the first six months of this year, and this shows it has enjoyed significant mortgage book growth in that period.

The lender’s mortgage book grew by £0.4 billion during that time, which took it to a value of £10.9 billion. That increase in value has been achieved despite a decline in net mortgage lending. This underwent a drop of 33% on an annual basis, going from £605.3 million to £405.7 million. The net interest margin for Principality BS also fell year-on-year from 1.21% to 1.17%.

The mortgage book growth achieved by Principality BS in the opening half of the year ensured that its net interest income rose though. By the end of June, this stood at £81.6 million. At the same time last year, the figure was £78.5 million – which means that £3.1 million has been added.

In announcing its results for the first half of the year, Principality BS stated that its performance had been healthy, even though market and economic conditions had not been ideal. The building society does not reveal its gross mortgage lending total in these interim reports.

Julie-Ann Haines is the chief executive for Principality BS. Talking to Mortgage Solutions, she said:

“The political and economic outlook for the second half of the year remains challenging, with inflation above target and rising National Insurance contributions for employers expected to put pressure on wage growth.”

These kinds of figures mean plenty of business for mortgage advisors who have done the CeMAP course.