Nationwide’s gross lending dipped 9.3 per cent year-on-year in the three months to the end of June.
In the first quarter of this financial year the building society lent £5.8bn, down from £6.4bn a year earlier, with net lending falling from £2.6bn to £1.7bn over the same period.
Nationwide’s share of gross lending across the market fell from 15.5 per cent last year to 11.4 per cent at the end of June while the average LTV of new lending remained static, on an annual basis, at 67 per cent.
Despite the dip in lending, profits were up 141 per cent year-on-year for the quarter, rising from £105m to £253m. Nationwide says this was the result of reduced costs.
Member deposits grew by £1.5bn between April and the end of June.
Nationwide chief executive Graham Beale says: “Nationwide has continued to help members to save, buy their own homes and manage their money in a way that suits their needs. As a result, member deposits increased by £1.5bn, we grew our share of current accounts to 6.4 per cent and we supported the housing market, helping over 23,000 people to buy their home, with gross mortgage lending of £5.8bn.
“In line with our focus on customer service we have sustained our position as number one for customer service satisfaction, where our lead over our high street peer group has increased over this period.”