Compare Mortgage Rates from Barnsley Building Society Against the Market starting at 3.47%

Barnsley Building Society: A Historical Review

Barnsley Building Society was a well-known mutual institution founded in 1853, primarily serving its local community in South Yorkshire for over 150 years. As a building society, it was owned by its members (its savers and borrowers) and was the 34th largest in the UK by the time of its merger.

The society's history as an independent body ended in 2008 when, facing potential losses of up to £10 million from deposits in collapsed Icelandic banks during the financial crisis, it agreed to a merger with the larger Yorkshire Building Society.

About Barnsley Building Society's Legacy

For 155 years, the "Barnsley" was a staple of its local community, known for its personal service and commitment to mutuality. It operated on a traditional building society model, using the funds from members' savings to provide mortgages for other members.

The merger with Yorkshire Building Society was seen as a pre-emptive move to protect its members' interests and ensure financial security during the turbulent 2008 financial crisis.

What Happened to Barnsley Building Society Mortgages?

You can no longer apply for a mortgage with Barnsley Building Society.

• Merger with Yorkshire Building Society (YBS): In December 2008, Barnsley Building Society was officially merged into Yorkshire Building Society.

• Initial Trading Name: For several years after the merger, YBS continued to operate the Barnsley branches and new products under the "Barnsley Building Society" trading name.

• Brand Phased Out: In 2016, Yorkshire Building Society announced it would be phasing out the Barnsley Building Society brand entirely. The remaining branches were either closed (if a YBS branch was nearby) or rebranded as Yorkshire Building Society.

• Existing Mortgages: All existing mortgage customers of Barnsley Building Society automatically became mortgage customers of Yorkshire Building Society. Their terms and conditions were protected, and Barnsley borrowers on a Standard Variable Rate (SVR) were moved to the more favourable YBS SVR.

If you had a mortgage with Barnsley Building Society, your mortgage is now managed by Yorkshire Building Society.

Historical Pros and Cons of Barnsley Building Society

Based on its reputation before the 2008 merger, here is what the society was known for.

Pros (Historical):

• Community Roots: The society had a strong local presence and a reputation for personal, face-to-face service in its branches.

• Mutual Status: As a mutual, it was owned by its members, not shareholders, which customers often felt led to better service and a more community-focused approach.

• Strong Mortgage Book: At the time of the merger, its mortgage book was considered high-quality, which made it an attractive merger partner for YBS.

Cons (Historical):

• Size and Scale: As a smaller, regional society, it was vulnerable to major financial shocks, as proven by the Icelandic banking crisis.

• Geographic Limitations: Its branch network was heavily concentrated in the Barnsley and South Yorkshire area, limiting its national reach.

• Limited Resources: Like other small societies, it would have struggled to compete with larger banks in funding the development of digital and online banking services.

How to Apply for a Mortgage (Not Possible)

You can no longer apply for a mortgage with Barnsley Building Society.

If you are looking to get a mortgage, you can apply directly to its parent organisation, Yorkshire Building Society, which is now one of the largest building societies in the UK and offers a full range of mortgage products.

You can start an application with them online, over the phone, or in one of their branches, but if you wish to review every possible alternative before you get started, make an enquiry here to book a free, no-obligation chat with a whole–of-marker mortgage broker.