Dunfermline Building Society

Nationwide Building Society trading as Dunfermline Building Society
Building Society (Mutual)
Industry Financial Services
Founded 1869
Headquarters Carnegie Avenue, Dunfermline, Fife, Scotland
Products Savings and Mortgages
Parent Nationwide Building Society
Website www.dunfermline.com

The Dunfermline Building Society was a building society and later a trading division of Nationwide Building Society, based in Dunfermline, Fife, Scotland. Before its 2009 merger with Nationwide, it was the largest building society in Scotland and the 12th largest in the United Kingdom based on total assets of £3.3 billion at 31 December 2007.[1] It was a member of the Building Societies Association.

On 28 March 2009, reports indicated the Society was no longer viable, and would be put up for public sale, to be managed by the Bank of England.[2] This process led to acquisition of the Society's branches, good loans and deposits by the Nationwide Building Society with the Bank of England assuming control of £1bn in commercial lending and the Society's poorer-quality and shared ownership mortgages.[3] The Dunfermline was fully integrated into Nationwide in June 2014.


A branch of the Dunfermline in Inverness

The Dunfermline was established in 1869 in the town of Dunfermline from which it takes its name.

It expanded throughout the 19th and 20th centuries, and acquired over 20 other organisations including: the Stenhousemuir, Peebles, Fourth Fifeshire Investment Company, the Stirlingshire, and the Edinburgh and Paisley Building Society.

A telephone banking service, Dunfermline Direct, was launched during Spring 1999.[4]

By the end of 2005, the Society had 34 branches and 38 agencies throughout Scotland. Around 20% of its business is generated outwith Scotland. The Society also has a large commercial lending book and is leading the way in investment in social housing.[5]

2009 financial crisis

In the 6 months running up to March 2009 the Board explored various options to secure an injection of capital (between £60m and £100m) which would allow the Building Society to continue operating as an independent mutual building society. The Financial Services Authority (FSA) stated that such capital would not be possible.

On 28 March 2009, reports indicated the building society was no longer viable, toxic assets would be stripped out and the remaining business put up for public sale, to be managed by the Tripartite Authorities (Bank of England, FSA and HM Treasury). BBC Scotland business editor Douglas Fraser broke the story, where a £26m loss was announced in late March 2009.[2] Around 500 jobs are at risk, where half are employed at its headquarters in Fife and half in the network of 34 branches.

It was announced on 30 March that the Nationwide Building Society had bought the retail and wholesale deposits, branches, head office and most of the residential mortgage book of the Dunfermline, with the Bank of England assuming control of £1bn in commercial lending.[3] Dunfermline became a trading division of Nationwide.

In May 2013, it was announced that the Derbyshire, Cheshire and Dunfermline brands would be phased out over two years, and branches either rebranded under the Nationwide brand or closed.[6]

On 24 October 2013, Nationwide announced that Dunfermline Building Society would be merged with the company.[7]


  1. "Asset List" (PDF). Building Societies Association. Retrieved 2009-03-30.
  2. 1 2 "Forced sale of building society". BBC News Online. 2009-03-28. Retrieved 2009-03-28.
  3. 1 2 "Nationwide takes over Dunfermline". BBC News. 2009-03-30. Retrieved 2009-03-30.
  4. "History". Dunfermline BS. Retrieved 2009-03-30.
  5. "How Dalziel's Dunfermline came to take on 'the big boys'". Scotsman. Retrieved 2009-03-30.
  6. "45 building society branches may shut in Nationwide rebrand". This is Money. 8 May 2013. Retrieved 9 May 2013.
  7. "Dunfermline to be merged with Nationwide". BBC News. 24 October 2013. Retrieved 24 October 2013.

External links

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