But the structural truth was always that the banking substance – the capital, the risk management, the balance sheet discipline – was never really Virgin’s. It came from Northern Rock’s legacy. Then from Clydesdale’s infrastructure. Then, ultimately, from Nationwide’s £272 billion balance sheet.
The Virgin bit was the colour scheme and the tone of voice.
What this means for you
If you’re a mortgage broker reading this with a mug of tea and a compliance folder on your desk, here is what matters:
The banking business has transferred. Your cases, your clients, your relationships – they now sit inside Nationwide. The second largest mortgage lender in the United Kingdom, behind only Lloyds Banking Group. That is, by any measure, a more solid home than a brand licence operation that was, at various points in its history, a credit card company, a dead northern bank, and a Scottish institution wearing a beret.
Nationwide has said it will eventually retire the Virgin Money brand. When that happens – probably within the next two to three years – expect to see Nationwide’s own branding extended across what are currently Virgin Money products. Current accounts, credit cards, mortgages. The Nationwide brand. The Nationwide rates. The Nationwide approach to business.