BSA welcomes mergers of Nationwide with Derbyshire and Cheshire

Commenting on the announcement that the Derbyshire and Cheshire Building Societies are to merge with the Nationwide Building Society, Adrian Coles, Director-General of the Building Societies Association, said: "The BSA welcomes the mergers of Nationwide Building Society with Derbyshire and Cheshire Building Societies announced today. The mergers will serve to further enhance the strength and stability of the sector.

"There have always been mergers between building societies and it is no surprise to see mergers announced in the current difficult market conditions. Today's announcement represents a prudent reaction by two building societies to the particular positions in which they find themselves, and the continuation of a long tradition in which building societies solve any potential problems emerging within the sector.

Overall, the building society sector is coping well with the current difficult conditions in the housing market.

"Building societies have always seen maintaining the safety of their investors' funds as their paramount duty. No member of a building society has lost any of their investment since at least 1945, and probably for a long time before that. I am very confident that building societies will maintain this record for many years into the future."