Your Society Putting members first

02

Welcome to your members’ newsletter

Coventry Building Society is a thriving organisation. That’s due to the support of our members – savers and borrowers – and we never forget that this is your Society.

In this newsletter, we’ll show you how your Society performed in 2016. But it’s not just about numbers. While the financial statistics are important, we think it’s right to talk about how we give real value to members while providing the best possible service. We think that doing all of this in a simple, straightforward way is the right way.

Please take a few minutes to read about what we did in 2016 and how we are putting members first.

Mark ParsonsChief Executive

How we put our members first at the Coventry

We’re committed to providing long-term value for our savers and borrowers. We’re run for you, not for external shareholders.

We listen to you and act on your views. You get a say in the running of your Society.

We provide award-winning service and have been ranked number 1 for savings and number 1 for mortgages by consumer champion Fairer Finance for the second year running.

We play our part in our local communities and wider society by supporting hundreds of good causes across the UK.

We’re a straightforward organisation, simple and transparent in everything we do.

thecoventry.co.uk/AGM

03

What’s inside

New look - same valuesOur look may have changed but our high standards remain

06Keeping things simpleOur straightforward approach to business

04

Award-winning serviceGreat service, alongside our great rates

10Motivating young mindsGiving young people valuable life skills

12

Working harder for youDelivering consistently good value

08

Committed to our communitiesMaking a difference to the communities we live and work in

14

04

Keeping things simple

Part of our strategy is to make dealing with us as simple and transparent as we can, and we know that it’s essential for you to be able to make the right decision about your finances. You’ll see us doing things that other banks and building societies don’t. Here are just some of the changes we’ve made that are already making a difference:

05

Visit our new website to see how we’ve made things simple and straighforward for you.thecoventry.co.uk

New websiteWe’ve built a brand new website with you in mind. It’s got a fresh, modern look and feel and it’s easy to use - all the information you need is clearer and easier to find.

Instantly compare productsIf you’re thinking about investing in new savings products with us, you can now instantly compare our new accounts to those available in the market, using independent data. You can filter the information on the product features, including interest rate, that are important to you.

In real moneyYou can choose to see the interest you’ll get in pounds and pence, as well as a percentage.

Simple savingsWe know that no-one likes the small print, so we’ve been working on revising our Savings Terms and Conditions to create something that’s clear, straightforward and easy to read. Consumer champion Fairer Finance have confirmed we’ve earned their ‘Fair and Simple’ mark - we’re the first UK bank or building society to be awarded this - and we’re proud of it.

06

New look - same values

07

You’ve probably noticed there’s something different about us – we’ve refreshed our look and updated our logo.

We’re proud to be a building society so we’ve added this back into our logo. We’ve taken out the words ‘TLC not PLC’ but remain focussed on delivering simplicity, transparency and long-term value for our members.

We’re also proud to be based in Coventry. The two parts of Coventry Cathedral – old and new – are a big part of the city’s history, so it seemed only right that we should use them as inspiration for our new look.

Taking the colours and design from the striking baptistry window, we reflected them onto Lady Godiva, another legendary symbol of Coventry, to create a brand new logo, but one that keeps our Coventry heritage firmly in mind.

08

Working harder for you

We’re committed to putting members first. We aim to deliver consistent growth in mortgages and savings which means we can deliver a stronger Society for the benefit of all our members.

09

Value that mattersOur average savings rate in 2016 was 1.77% versus the market average of 0.92%*. And our mortgages have been in the national press best buy tables every week for more than three years. It’s your money and we’re refreshingly open about how we stack up against our competitors.

We’re a lean machineWe know that to make your money work harder for you, we need to work in an efficient way. For every £100 of our members’ money, we spend just 41p running the Society. That’s the lowest reported by any other UK building society - savings we pass on to you.

Experience countsWe’re careful with money – because it’s your money. Through good times and bad, we’ve been consistently A-rated by leading credit agencies – and still are. Our profits mean we’ve increased our member reserves. It’s reassurance for you that we’re a safe and secure home for your money.

You’re in good companyMore and more people, like you, are choosing us for their mortgages and savings and we’re growing. Today 1.8 million people save with us, or buy a home with our help. We’ve reached record savings balances of £28.1 billion and record growth in mortgages taking our lending to £32.9 billion.

1.8 million

* The Society’s average month end savings rate (Society mix of products) compared to the Bank of England weighted average rate for household interest-bearing deposits (market mix of products).

10

Award-winning service

In 2016 consumer group Fairer Finance rated us the number one savings provider and the number one mortgage provider.

We’re up there with some of the biggest brands in the UK when it comes to delivering great service. In 2016, leading customer experience consultants KPMG Nunwood ranked us next to Apple Store and Waitrose in a UK poll.

We’re not used to boasting about our service - we just get on and deliver it. But we must be doing something right - our customer satisfaction is ranked higher than any other bank or building society in the UK by YouGov.*

* The YouGov BrandIndex Customer Satisfaction ‘opinion only’ measures perception for the 52 weeks to 14 January 2017. ‘Opinion only’ compares the number of satisfied versus dissatisfied former and current customers, and excludes those that don’t give an opinion.

The research is based on 1,856 customers from a Cards, Loans and Building Society study and 1,453 customers from a High Street Banks and Savings study with a nationally representative 18+ adult profile. It excludes brands with fewer than 100 responses.

Continued improvement

We’re proud of these achievements and we want to keep improving. The best way to do that is to listen to your feedback. Last year we asked over 30,000 members for their views.

11

Listening to you

Fast facts

9 out of 10 branch users in 2016 told us they would be happy to recommend their local branch to friends or family1.

97% of callers to our savings call centre said they were happy with the service they received on their most recent call1.

Sometimes we get things wrong. And if we do, we’ll work hard to put it right. In 2016 only 4% of Society complaints that were referred to the Financial Ombudsman were overturned, compared with an industry average of 48%2.

Share your views

Our Members’ Council regularly meets the Society’s management and looks at a range of topics, from lending policy and interest rates to executive pay and our work with communities.

On the road

Throughout the year we take the Society on the road – meeting members, letting you know how we run the business and giving you the chance to pose questions to our senior managers. Keep an eye out for details of our next roadshows in 2017.

Have your say from your sofa

Our new online Member Panel gives you the chance to get involved without even leaving your home. This online forum allows you to take part in surveys and discussions alongside other members.

1. Source: Monthly Coventry Building Society surveys, 2016.

2. Source: Financial Ombudsman Service - latest published information: 1 January 2016 to 30 June 2016.

12

Motivating young minds

Our employees have excellent skills – skills we want to share. Hundreds of our employees have volunteered to work with school children to develop their literacy and numeracy, listening to them read and supporting them with fun maths games. Our financial awareness sessions teach pupils about budgeting and the risk of fraud – getting them ready to manage their own money.

13

Preparation for the world of work

We’re also getting young people ready for the world of work, teaching them employability skills and running mock interviews. We’re building their confidence and giving them the tools they need to make an impact on a new employer. The programme has been hugely popular with teachers, students and our staff who have volunteered.

The young people involved said they felt more confident working in small teams, giving and receiving constructive criticism, being able to meet deadlines and focusing on their strengths. It’s been so valuable that we’re already planning the next programme.

Visit our new website to learn about our community work.thecoventry.co.uk

“I’ve learned so much. I’ve already managed to get myself a part-time job.”

Londina from Stoke Park School – our 2016 Student of the Year:

Melanie Whitehead, Society employee:

“I really enjoyed the opportunity to be involved with EmployabilityUK. I think it’s a brilliant programme and fantastic that these young people are being given an excellent unique opportunity like this that can make a difference to their futures. I felt proud to be involved.”

Jhuma Kar, Post 16 teacher:

“Our students started the programme - some were excited and some were not very sure. But, at the end of it, each and every student benefitted and gained a lot of transferable skills. A big thank you to Coventry Building Society and EmployabilityUK for the whole programme.”

14

Committed to our communities

We’re committed to making a difference to the communities that our members live and work in. Through volunteering, fundraising and reducing our environmental impact, we’re making positive changes that will benefit you and the people around you.

15

Our partnership with The Royal British Legion began in 2008 and over the years we’ve donated more than £13 million to this worthy cause.

We’re hugely proud of the financial support we’ve given and we’re equally as proud of our 120 employees who invested their time this year – helping to plant crosses in the Fields of Remembrance and collecting donations from around the UK.

Investing our time

In your neighbourhoodIf you’ve visited a branch over the past few months then there’s a strong possibility you’ve made a donation for a slice of homemade cake, seen our employees in fancy dress, or been asked to sponsor a team member. Thanks to your generous donations we’ve raised more than £200,000 for a range of local charities across the Society.

On a national scale

We’re also passionate about Pudsey and have hosted the BBC Children in Need Call Centre for the past three years. This year, 340 of our employees volunteered their time, taking over 2,700 donation calls.

Visit our new website to learn more about our community work.thecoventry.co.uk

Get in touchAt a branchFor details of our opening hours, visit thecoventry.co.uk

OnlineVisit us at thecoventry.co.uk

By phoneCall us on 0800 121 8899

By post Write to us at Economic House, PO Box 9, High Street, Coventry CV1 5QN.

Coventry Building Society is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (firm reference number 150892 www.fca.org.uk).

Our Customer Service Centre is open Monday to Friday 8am-8pm, Saturday 9am-5pm, Sunday 10am-4pm.

Calls to 0800 numbers are free when made from the UK. You may be charged for calls to all other numbers, please contact your service provider for further details. We may monitor, record, store and use telephone calls to help improve our service and as a record of our conversation.

Information correct at time of going to print (March 2017).

Coventry Building Society. Principal Office: Economic House, PO Box 9, High Street, Coventry CV1 5QN.18

208

03/1

7 C

OM

P17

058