Director’s Report

Conduct Risk

The Society puts members at the heart of what it does and is focussed on delivering good outcomes for current and future members. The Society’s conduct risk management is key in preventing poor outcomes for its members whilst the Society’s culture, governance and working practices promote acting in the best interests of members and avoiding potential harm through products, services, support and communication. The conduct risk requirements are continuously reviewed and adapted, including taking into account regulatory developments and best practices, to ensure that good customer outcomes are consistently achieved, and we have processes in place for mitigating and monitoring member detriment.

The Society is committed to maintaining high standards of integrity and fairness in its dealings with members and ensures that all documentation and literature is clear, fair, and not misleading.

Systems and documented procedures are in place to ensure that, if any member is dissatisfied, such concerns will be handled with due care and sensitivity and will be thoroughly and impartially investigated. A member who feels dissatisfied with the result of such investigation has the right to refer their complaint to the Financial Ombudsman Service.

Diversity and Inclusion

The Board strongly believes that business success, decision making, and risk management are more effective when underpinned by a diverse and inclusive culture. The Board is committed to encouraging equality and diversity which includes criteria such as nationality, race, age, and experience and encourage multiple points of view and recognises that diversity will drive innovation in our Society. A diverse workforce not only promotes good business practice, but also reflects our principles. During 2022, the Society continued its membership and involvement in the Women in Finance Charter initiative and has embedded its principles into recruitment practices and remuneration.

Significant Events since the End of the Financial Year

The Directors continue to respond to and monitor the impact of the Coronavirus Pandemic and the effect it is having on the Society, members, colleagues, suppliers, and the wider population. The Directors are also monitoring the effect of the Ukraine war on members and the Society’s investments. This is a developing situation which has introduced further volatility to financial markets and the Directors will closely monitor and respond.

Throughout 2022 the Society’s Solvency Capital remained above the required level set by our regulators. During the year management actions have been considered and adopted to strengthen the Society’s solvency position and the Society’s solvency position will continue to be a prime consideration of the Board during 2023. The Board remains confident that the Society has sufficient resources to continue to operate and explore new opportunities as it delivers its strategic plan.

Auditors

BDO LLP continues to serve as the Society’s auditors and the Board are grateful to them for their ongoing service and opinions.

Stuart Purdy Chairman of the Society 26-May-23