FIRST TIME BUYERS

One of the questions I'm most often asked is What does The Hanley do for first time buyers? This question tends to assume that FTBs are a unique group and meriting very specific attention , in terms of products and service, an assumption I'd challenge as I'd caution against seeing FTBs as a homogeneous group and an accurate barometer of a healthy housing market. This is simply because the FTB market has changed markedly from the traditional view; it is much smaller than it used to be (approx 200,000 FTB transactions are likely this year, around half the level of peak years) and is more diverse than it once was. For instance the average FTB is in his/her early 30s and around 8 out of 10 FTBs now rely on help from the bank of mum and dad to gather a suitable deposit . Consequently it is important for a lender like The Hanley to have a range of options for prospective FTBs so that we can cater for the spectrum of needs they will have.That's why we have fixed and variable rate products available , as well as shared ownership advice.But most importantly, my answer to the question at the top of this blog is that The Hanley concentrates on FTBs in our heartland territory because that means we can sit down with them at one of our 6 branches and explore what is right for their particular circumstances. We believe in the value of trusted, face to face advice and nowhere is that more relevant than with a first time buyer.

GOLD STANDARD

It has been a memorable week, punctuated this morning by the announcement that The Hanley has been awarded Gold standard by Investors in People (IIP) following an intensive inspection of our procedures, communications and customer commitments. We are absolutely thrilled, not least because it puts us in an elite group of 1% of IIP firms who are bracketed as IIP Gold. The credit for this goes to our wonderful people who work here, the most talented and tenacious bunch that I've ever had the pleasure to work alongside. Much is made in the media right now of the extent to which customers have been let down by the banks and it's easy to make a case that banks seem not to have learnt any humility from the last few years, but my colleagues at The Hanley could never be accused of letting down our members. In a way it is simple to unite 60 staff behind an intention to deliver outstanding prerformance and customer service, because the business is small enough to wrap your arms around it and to calibrate progress, but I'd argue that it is also feasible to do so in a large firm. Recruiting the right people, motivating and developing them with clear goals and a shared view of what success looks like, alongside a commitment to doing the right things (as well as doing things right) seems like a recipe for a Gold standard in anyones language.
Whilst some of the big banks may be "too big to fail" from a systemic risk viewpoint I don't believe customers should allow them to regard organisational size as an excuse for poor service, lack of attention to personal circumstances or inappropriate product sales. Judging by the recent glut of adverts from banks about their intentions to become "customer friendly" maybe bank Executives see that too.

ANNUS MIRABILIS

This latin phrase means "wonderful year" or "year of wonders" and was originally used by the English poet John Dryden to reflect on the year 1666. My attention was drawn to the Annus Mirabilis of 1971 in a recent article in Word magazine, a year in which the following albums were released.....Led Zeppelin IV , Hunky Dory (Bowie), Imagine (John Lennon) Whats Going On (Marvin Gaye) Sticky Fingers (Rolling Stones) Blue( Joni Mitchell) LA Woman (The Doors) Surfs Up (Beach Boys) Every Picture Tells a Story (Rod Stewart) American Pie (Don McLean)..... a vintage collection of gems, and arguably some high-points in careers, all of which are fondly remembered by many of us 40 YEARS LATER. A truly remarkable feat, and a clearly amazing year. I should point out that, although all these records are in my CD collection now, I didn't buy them in 1971......I was only 12 years old then.! My point is that longevity demonstrates sustainable quality and of course few people in 1971 would have predicted a 40 year (minimum) durability for this music. So when we ponder all the gloomy predictions about 2011, we may soberly consider that this year could become our annus mirabilis if we make the most of our opportunities. Who knows, maybe our outputs now (in arts and in business) will have a profound influence on future reminiscences. I bet the flared-jeans and long-haired music critics of 1971 didn't predict that the year would yield 10 of the best albums ever recorded.

ANNUS MIRABILIS

HAPPY CHRISTMAS

''So this is Christmas, and what have we done? "
Well at The Hanley we've completed another successful year as evidenced at our recent AGM and in our annual report & accounts, both in terms of financial performance and member endorsement. In a tough market we have continued to win business and to do so in a way which is in the long-term interests of our members .
Less parochially, and much as I prefer to look forward rather than glance back the way, 2010 has had some very pronounced peaks and troughs. The low points include;
... the dullest football World Cup in living memory, punctuated by the droning din of the vuvuzela and hectares of discounted merchandise after Englands puny elimination.
... a dreary General Election, followed by the musical chairs of the coalition formation.
....the inexplicable success of the "comedian" Frankie Boyle

High points must be;
...the rescue of the Chilean miners.
...the gold medal performance of Amy Williams at the winter Olympics
...the Swedish film version of The Girl with the Dragon Tattoo
...the Ryder Cup victory at Celtic Manor

No doubt 2011 will unpack it's share of surprises. Meantime may I wish you and yours a happy Christmas and a healthy and prosperous new year.

BIDDULPH WELCOME

The highlight of my week has been the opening of our new branch in Biddulph. The welcome we've received from the local people has been extraodinary and many have already become Hanley members having previously used the premises when occupied by Cheshire building society.Our aim is to be the "go to" place for mortgages , savings and investment advice for everyone in the local Biddulph area , and we've made a fantastic start. Our new branch team is a blend of Hanley experience and new faces, all very determined to shine and to deliver all that is great about a local mutual , with a focus on excellent customer service and tailor-made products.
I've had a fair bit of media reaction, querying why we have bucked a trend of bank branch closures, but reminded commentators that building societies unlike the big banks have sustained a commitment to branch networks, even during the turmoil in our core markets over the past 2 years and in fact several other societies have announced new branches in recent months (eg Newbury BS and Harpenden BS)
The local branch really is our finest demonstration of what we stand for, in terms of service, accessibility and brand values. Of course any branch is only as good as it's staff and on that score,I'd pitch my teams against any other, no matter how big the organisation is or how many TV adverts they use to proclaim their"customer charter".
We are thrilled to be in Biddulph and look forward to many years serving that local community and doing business in the town.

DIVERSITY IS A VIRTUE

The heads of several media groups,including ITV and BBC, have written to Business Secretary Vince Cable urging him to block any attempt by Rupert Murdoch's NewsCorp to take full control of BSkyB on the grounds that such a move "could reduce diversity" in the marketplace. Whatever the merits of their specific case (and I have to admit to being a reader of The Times and avid watcher of SkySports) the importance of a diverse market with genuine consumer choice is compelling.Diversity in business is a contemporary topic and I am struck by the potency of the argument for diversity in our own marketplace .A recent research report by the Oxford Centre for Mutual and Employee-Owned Business makes that case very powerfully, reminding us that a more diverse financial services sector promotes systemic stability and offers benefits to individual customers by increasing competition and choice. The report emphasises that mutuals bring a market dimension based on service and member-engagement with low risk-appetite and high customer endorsement.Such characteristics are worthy of support from decision makers and regulators if only to put competitive pressure on the banks where the current market share of the biggest 6 banks in gross residential lending is excessive . In a thought provoking report the author Jonathan Michie also finds time to advocate a Minister for Mutuals. Now that would go a long way to convince many that the coalition government's promise to " foster diversity in financial services" is a genuine one.