For more than 75 years, Greater Bank and Newcastle Permanent have operated side-by-side and, while competing for customers, have always shared a common purpose of supporting the people and communities that support us.
In a world of big banks, we’ve always punched above our weight. We are both financially strong and through our fierce commitment to being customer-owned, have each built loyal customer bases that span generations.
Combining our resources and financial strengths provides an unparalleled opportunity to grow and innovate, to deliver even better value for our customers. This has been, and remains, the foundation for entering into such an arrangement.
Merging will also enable us to keep pace with increasing regulation and reporting, and the rapid advancements in banking technology, both of which require significant investment.
Combined, Greater Bank and Newcastle Permanent have $19.8 billion in total assets and a customer base of approximately 600,000. In merging, we will create one of Australia’s largest customer-owned financial institutions, and positioning us to be a real challenger and remain a significant competitor in the banking sector.
Consolidation within the Australian banking industry over the past decade has seen the number of mutuals almost halved. Today there are fewer than 70* , as other smaller financial institutions have united to remain competitive and sustainable.
Professional services consultancy KPMG suggests^ this trend is set to continue with a quarter of Australian customer-owned banking organisations anticipating being involved in merger activity this year, and a further 20% considering the possibility.
This is why now is the right time for us to come together.