Self-build boosts Bath mortgage book

But pre-tax profits sank by 4.5% to £2.2m in what it described as "challenging" market conditions and a weak demand for housing finance.

Dick Jenkins, chief executive, said: "We are more determined than ever to demonstrate that we do things very differently to the major banks. Decent values and respect for our members have been at the core of our business for generations and will remain so going forward.

"A very good run of results in recent years which has continued into 2012 suggests that this different approach is being appreciated by our members.”

The Society’s assets rose by 6.8% to £270m, from £252.8m on the previous year, and it reported a 9.6% increase in its reserves from £17.0m to £18.7m year on year.