Today sees the transformation of Kent Reliance Building Society into OneSavings Bank Plc, a bank run on mutual principles, created in partnership with private equity firm JC Flowers & Co. The Society has been granted a banking licence by the FSA and the new bank will trade as Kent Reliance Banking Services, Kent Reliance or krbs.
Under a ground breaking new structure, members of the Society have become members of Kent Reliance Provident Society, a new industrial and provident society, which will hold a majority of ordinary shares in OneSavings Bank Plc. The business of the former building society, saving accounts and mortgages, will be transferred to the bank. The result is an organisation with the ethos of a mutual but the trading advantages of a bank, enabling much needed capital to be brought to the business.
OneSavings Bank Plc will be a new style of bank: one that puts customers first, providing them with affordable, competitive savings and mortgage products and banking services. Its prime aim will be to treat customers fairly, whether they choose to deal direct or opt for traditional High Street based forms of banking. The bank will have a national High Street presence and this month alone opens seven new offices in the South and South West.
Mike Lazenby, CEO, of Kent Reliance said; “We are absolutely delighted we have been granted a licence by the FSA which will see our transformation into OneSavings Bank Plc. This is the culmination of more than a year of consultations with advisors, working to produce a structure capable of introducing fresh capital into the business, whilst retaining mutuality for our members – we are effectively taking our mutuality to another level.”
“We are passionate about mutuality and still believe it has a role to play in protecting and promoting consumer interests. We will be a bank run on mutual principles, providing customers with affordable, competitive and efficient banking services - whether they choose more traditional branch-based forms of banking or whether they deal with us online.”
“We are very much back in play now, poised to develop our successful business franchise and focused on putting the customer first in all we do.”
OneSavings Bank Plc will be led by an experienced executive team consisting of: Mike Lazenby, CEO, who was Chief Executive Officer at Kent Reliance Building Society for over ten years and former Marketing Director of Nationwide Building Society; Bob Scruton, Finance Director, a chartered accountant who was Finance Director at Kent Reliance Building Society from 2003 and who spent 25 years with a large provincial firm; and Tim Sawyer, Chief Operating Officer and former Chief Executive of the Abbey-owned internet bank cahoot and Managing Director of IVOBANK.