Press Release 58 12.4.99
Subject: Bradford & Bingley Building Society’s fight to retain its mutuality Storyline1: Warning by Vincent Cable MP that if Bradford & Bingley, (the 2nd biggest building society), falls the rest of the sector could be in serious difficulty. Storyline 2: The “Save Our Building Societies” campaign has joined the fight to save the Bradford & Bingley Building Society. It will use 203 local & regional newspapers to help put across the pro-mutual message. Statement by Vincent Cable MP Vincent Cable’s message for members and customers of Bradford & Bingley “When members of Bradford & Bingley vote on whether to retain the mutual status of their society they should realise that if the carpetbaggers win the whole building society movement could be rocked to it’s foundations. This imposes quite a responsibility on how members vote. If never before members voting should understand that they are custodians not for just one building society but for an entire social movement built up by generations of working people to help provide homes for the community. Please don’t throw all this away by voting for resolutions that are merely intended to be a one-off “smash & grab” raid on your society. These resolutions are supported by carpetbaggers many of whom are recent members of the society who have joined solely to asset-strip the Bradford & Bingley. These are people who have no concern for the common good . They are not interested in whether you, your family or your children have access to the cheapest mortages to buy homes, or to receive the best rates of interest for savings. They are not bothered if branches of your society have to close to make profits for shareholders and members of staff are made redundant. PLCs exist to make profits for shareholders. Mutual building societies like the Bradford & Bingley exist to serve their members and their customers. The choice is yours!” Vincent Cable, Member of Parliament, 8th April 1999
Note to the Editor 1) Votes have to be received by the scrutineers by 5.00pm Friday 23rd April 1999. To make sure the vote is received before the deadline it should be posted if possible by the 20th April 1999. 2) The Consumer Association have just published research that proves that borrowers and savers would be significantly worse off if Bradford & Bingley was forced to convert to a bank. 3) Mortgage customers should realise that if Bradford & Bingley converted the Consumers Association have found, using £50,000 mortgage as an example that they would be at least £442 worse off a year. (based on the 1996-1998 figures) Mortgage customers would be worse off year in, year out for the entire life of their mortgage. How does that compare with a one-off windfall ? (that may be worth a lot less than people think) 4) Dr Vincent Cable MP is the Member of Parliament for Twickenham and national spokesperson for the SOBS campaign. SOBS will be putting the pro-mutual message across through 203 local & regional newspapers whose circulation area contains at least one branch or agency of the Bradford & Bingley. We have added their contact details to our fax database.
Bob Goodall Co-ordinator "Save Our Building Societies" campaign