Nationwide acquires Virgin Money

As per the information detailed in the press release, Nationwide is set to remain a mutual and owned by its members. Also, all of the profits generated by Virgin Money intend to be retained for the benefit of customers and a full-service business bank which is set to be part of a large mutual. The UK’s small and medium-sized enterprise (SME) sector can decide to bank with a national brand that focuses on meeting consumer demands, preferences, and needs, as well as the impact it has on society without having to meet the requirements of external shareholders.

When commenting on the announcement, representatives from Nationwide confirmed that Virgin Money branches are included in the financial institution’s Branch Promise, meaning that everywhere there is a branch, the bank guarantees to still be there until at least the start of 2028. On the other hand, even if customers cannot leverage Virgin Money branches for Nationwide transactions currently, the financial institution plans to broaden its range of services over time. The deal with Virgin Money enables Nationwide to benefit from the latter’s knowledge and capabilities in personal lending and credit cards, business banking and accounts for clubs and societies.

Furthermore, Nationwide underlined that customers who have savings with both the financial institution and Virgin Money are set to continue to benefit from the protection provided by the Financial Services Compensation Scheme on each of their accounts.

The completion of Virgin Money’s acquisition follows Nationwide’s announcement from July 2024 regarding its joining the Open Property Data Association (OPDA) to facilitate the implementation of Open Data standards in the property market. As a member, Nationwide was set to promote awareness of digital property data, advocate for the adoption of OPDA’s framework, and integrate these standards into its services and collaborations with industry partners.

Source: Link