Australia’s mutuals return to solid growth in 2015

16 November 2015

A recently released report on the performance of mutuals in Australia for 2015 has shown the industry’s total assets grew by 7.4 percent while overall profitability remained strong. The report by KPMG, states that 2015 has been the year in which building societies, credit unions and mutual banks returned to solid growth with total profits for the sector after tax standing at $449 million.

Mutuals Industry Review 2015 points to six key trends which are benefiting mutuals including the offerings by mutuals becoming more competitive against the larger banks and technological costs falling to name but a few.

In addition, the report laid out challenges facing the sector with the need to increase collaboration and innovate existing business models. 2015 showed mutuals were moving the in the right direction and that they are now moving into a new phase of rapid innovation and change with the emergence of fin-tech start-ups.