In the latest merger in the UK banking sector, Stroud and Swindon Building Society is set to merge with Coventry Building Society. Stroud and Swindon's 30,000 mortgage members and 243,000 savings account holders last week voted in favour of the merger, which will see them join Britain's third largest building society from September 1st. The new society will have assets of £21.1 billion and a total of 1.5 million members.
Existing Swindon and Stroud savers will initially enjoy savings protection of £100,000 - twice the maximum £50,000 per saver per society compensation scheme set out by the Financial Services Compensation Scheme (FSCS). That figure will be reduced to £50,000 per individual over both societies at the end of the year, though EU rules come into force at the same time which are expected to increase the limit to around £85,500.
The merger is the third of its kind this year, after Chesham and Skipton building societies merged, while Britain's oldest society - Yorkshire - took over Chelsea. Savers and home loan borrowers will remain on their current deals, with fixed rate customers set to retain their existing interest rates .






