Chamber president on the current cost of living

Author - Jasmin Brown

Date published:

Andrew Haigh, CEO, Newcastle Building Society and Chamber President

It is distressing to think that much like the pandemic, the current cost of living crisis will in some way touch every individual and family across the North East. For some in our region, who are already amongst the most economically challenged in the country, the consequences will inevitably be severe.

Both individuals and businesses are facing difficult choices and the decisions we make will inevitably have significant impact on others. The challenge for businesses is to find a path that best serves customers, colleagues, communities, and other stakeholders in the present, while also ensuring a long term sustainable future for the organisation. Like many others in our North East business community, at Newcastle Building Society we are determined to make choices where we can, which will have a real and positive impact for our region.

Last month I was in Knaresborough, North Yorkshire, as we officially cut the ribbon to Newcastle Building Society’s new community branch inside the town’s library. The branch opened to customers earlier in the summer and has been warmly and enthusiastically received by the local community which had previously been left with no financial services provider in the town.

The argument presented by banks abandoning our high streets is that branches are too costly to run and that people don’t want to use them anymore.  We’ve made a choice to listen to what our members want, and to find new and different ways to provide accessible and local financial services by partnering with like-minded people such as the local library service.

Given the cost of living conversations that we are all having, I can’t think of a more important time to give our communities the option of accessing face-to-face financial advice. Money matters can feel complex but at a time when people will really benefit from professional guidance and information, having a friendly conversation in your local branch could help inform decisions and make all the difference.

Our branch community rooms remain a place to go for a friendly welcome, in a warm space and a dedicated area for local community groups to meet, spend time, and enjoy a hot drink together, all free of charge. 

We’ve made other big choices too. Since the Bank of England started increasing the base rate at the start of the year, every one of our variable rate savers has benefitted from a better rate and we continue to explore ways to do even more.

As well as looking after customers, as a significant employer in the region, we’ve also chosen to support our colleagues with their own ongoing cost of living and energy price challenges. This included bringing forward part of next year’s pay review to October with a further review next year and as a Real Living Wage employer, we were proud to be an early adopter of the new benchmark as the salary entry point for the organisation.

What’s important for organisations like Newcastle Building Society is that we continue to be mindful of the support we can provide to our region, because even if those opportunities may individually appear small, they each make a positive difference to someone and collectively they will have an impact. 

While there are significant challenges ahead for us all within the business community, such is the character of the region that I know we will do what we can to keep applying fresh thinking to difficult situations and seek to make the right choices for the benefit of our customers, colleagues and the communities of which we are all part.  

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