Introducing the report, chief executive Mervyn Pedelty says the bank's distinctive position had been important in producing a seventh successive year of increased profits. Mr Pedelty says ethics are just one aspect of the bank's brand. The figures are based on detailed analysis of the Co-op brand value, and market research findings from Mori that more than a quarter of current account customers cited ethics or the environment as the reason for opening their accounts. Paul Monahan, the partnership development manager, said the results demonstrated the business case for sustainable development.
People often claim that ethical business is good business, but nobody has had hard numbers before.
The extra profits are despite turning down 105 of the 270 referrals to the bank's policy unit, mostly because of the ecological impact of the applicant's business. Mr Monahan said the bank's energy bills show that many businesses overestimate the cost of going green. In the current year the bank will benefit from national insurance savings following the introduction of the climate change levy. Mr Monahan said this would cancel the extra energy costs. It means we will have gone green and saved money.