Mutual lenders provided more than 60,000 new homebuyer mortgages in the six months to March
Building societies and mutual-owned banks provided 61,730 mortgages to first-time buyers in the six months to March 2026, representing 32% of all lending to new homebuyers, according to figures published by the Building Societies Association (BSA).
The sector's total mortgage balances rose by £7.5 billion over the period to £499 billion, equivalent to 29% of all outstanding mortgage loans in the UK.
On the savings side, building societies and mutual-owned banks attracted 12% of all new cash savings during the half-year and now hold 23% of all outstanding UK savings balances, totalling £502 billion. Their share of the Cash ISA market remains particularly significant, with 46% of all Cash ISA balances — worth £212 billion — held with mutual providers.
The BSA also noted that in 2025, building societies paid savers £2.1 billion more in interest than the average rates offered by the largest banks.
"With the Bank Rate unchanged, many homeowners and prospective buyers will welcome the stability after several weeks of uncertainty," said Paul Broadhead (pictured right), head of mortgage and housing policy at the Building Societies Association. "While mortgage interest rates remain higher than at the start of the year, the market remains active with strong competition between lenders and average mortgage rates have reduced over the past three months.
"What these figures demonstrate is the value of having a diverse financial services market. Building societies continue to use their mutual model to support those that can often find it hardest to access homeownership, while also delivering better value for savers.
"At a time when household finances remain stretched, consumers are increasingly choosing organisations that focus on long-term value rather than short-term shareholder returns, which is one reason why building societies' mortgage and savings balances continue to grow."
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