Dame Debbie Crosbie, the chief executive of Nationwide Building Society, has seen her total pay package nearly double to £4.67 million for the financial year ending March 31, driven by bonus awards linked to the mutual's acquisition of Virgin Money. The payout includes a fixed salary of £1.2 million, bonuses totaling £3.2 million, plus pension and benefits, compared to £2.49 million the previous year.
Pay Rise Tied to Performance
Nationwide attributed the increase to a long-term bonus award first granted in 2023, based on the society's three-year financial performance. The pay committee stated it was "comfortable that remuneration outcomes reflect the society's excellent performance." Despite this, pre-tax profit fell to £1.49 billion from £2.3 billion the prior year, which had been boosted by a one-off gain from the Virgin Money deal.
Virgin Money Integration
Dame Debbie spearheaded the £2.9 billion takeover, the largest UK banking merger since the financial crisis, combining the fifth and sixth largest retail lenders. The Virgin Money brand will be phased out, with customers transitioning to Nationwide and branch rebranding expected by 2028. Nationwide has also distributed about £1.5 billion to members since 2023 through profit-sharing, with 4.4 million eligible members receiving a £100 payment this month.
Board Election Controversy
However, Nationwide faces criticism over its handling of the first member-nominated candidate for the board in 24 years, James Sherwin-Smith. The board recommends members vote against him, citing lack of necessary skills and experience, and has introduced a "quick vote" option to follow its recommendations. Sherwin-Smith, with over 20 years in financial services, argues the election is about member voice in governance. Advanced voting opened on Monday ahead of the annual general meeting on July 15.
