Subject to confirmation by the Financial Services Authority (FSA) and approval by Chesham members, the merger is expected to become effective on 1 June 2010. Full details are being communicated to Chesham members next week. Skipton will be writing to all its members with more details as part of its AGM magazine mailing in mid March.
The two societies share a similar ethos, centred on offering outstanding service to their members and supporting the communities in which they operate. Chesham already has a working relationship with Skipton as it uses an IT platform provided by a subsidiary within the Skipton Group. As well as providing three new branches for members, the merger will further improve Skipton's capital position.
Skipton has committed to retaining Chesham's three branches for 12 months from the date of merger, after which they will be subject to the Society's ongoing branch review process. There will also be no compulsory redundancies among branch staff as a result of the merger. Chesham members will be able to transact in any branch of the enlarged Society from merger date.
David said:
"We have always made it clear that we would consider further merger activity where it is in the best interests of our members. We look forward to welcoming Chesham's members on board and believe this union will provide positive product and service benefits for the combined customer base of the enlarged Society."
Paul Kilbride, Chief Executive of Chesham Building Society, added:
"The Chesham Board firmly believes that the clear benefits of being part of a larger building society with broader funding sources and a larger capital base, while preserving the current levels of customer service and offering an extended range of good value products, are in the best interests of its members.
"A merger with Skipton will result in Chesham's members having access to Skipton's large branch network, its postal and telephone investment service, internet facilities, and to a broader range of products and services, from the time when the merger becomes effective."
