OneSavings Bank plc is a fast-growing specialist lender and retail
savings group with a balance sheet of over £6bn.
The OneSavings Bank group is recognised as a specialist lender offering
residential, buy to let and commercial mortgages, secured loans and
development finance funded by a retail customer proposition based
upon the provision of good value long and short term savings. OneSavings
Bank operates through its market leading brands, Kent Reliance, InterBay
Commercial, Prestige Finance and Heritable Development Finance. We
enjoy long term relationships with our customers, delivering consistently
high customer satisfaction scores, enabling us to maintain a strong
retail funding base.
OneSavings Bank plc ('OSB') began trading as a bank on 1 February
2011 and was admitted to the main market of the London Stock Exchange
in June 2014 (OSB.L). OSB joined the FTSE 250 index in June 2015 and
is authorised by the Prudential Regulation Authority, part of the
Bank of England, and regulated by the Financial Conduct Authority
and Prudential Regulation Authority.
OSB primarily targets underserved market sub-sectors that offer high
growth potential and attractive risk-adjusted returns in which it
can take a leading position and where it has established expertise,
platforms and capabilities. These include private rented sector Buy-to-Let,
commercial and semi-commercial mortgages, residential development
finance, bespoke and specialist residential lending and secured funding
lines. OSB originates organically through specialist brokers and independent
financial advisers. It is differentiated through its use of high skilled,
bespoke underwriting and efficient operating model.
OSB is predominantly funded by retail savings originated through
the long established Kent Reliance name, which includes online and
postal channels, as well as a network of branches in the South East
of England. Diversification of funding is currently provided by participation
in the Funding for Lending Scheme and access to a securitisation programme.
OneSavings Bank plc ('OSB') was formed in 2011 following the recapitalisation
of the Kent Reliance Building Society by funds advised by J.C. Flowers
& Co. LLC and is based in Chatham, Kent. The Group trades under the
Kent Reliance, InterBay Commercial, Prestige Finance and Heritable Development
Finance brands in the UK and under the Jersey Home Loans and Guernsey
Home Loans brands in the Channel Islands.
OSB primarily targets underserved market sub-sectors that offer high
growth potential and attractive risk-adjusted returns in which it can
take a leading position and where it has established expertise, platforms
and capabilities. These include private rented sector Buy-to-Let, commercial
and semi-commercial mortgages, residential development finance, bespoke
and specialist residential lending and secured funding lines. OSB originates
organically through specialist brokers and independent financial advisers.
It is differentiated through its use of high skilled, bespoke underwriting
and efficient operating model.
OSB is predominantly funded by retail savings originated through the
long established Kent Reliance name, which includes online and postal
channels, as well as a network of branches in the South East of England.
Diversification of funding is currently provided by participation in
the Funding for Lending Scheme and access to a securitisation programme.
Whilst it is a new name, OneSavings Bank has over 150 years of heritage
as Kent Reliance, which can trace its roots to 1847.
OSB was admitted to the main market of the London Stock Exchange in
June 2014 (OSB.L). OSB joined the FTSE 250 index in June 2015 and is
authorised by the Prudential Regulation Authority, part of the Bank
of England, and regulated by the Financial Conduct Authority and Prudential
At OneSavings Bank we believe strongly in diversity and equality in our workforce. As such, in January 2017, we became a proud signatory of HM Treasury’s Women in Finance Charter; a voluntary commitment to work with the government to build towards gender equality at all levels of our organisation.
By becoming a signatory of the charter, we have pledged to be one of the best businesses in the sector in terms of gender equality.
Why was the Charter introduced?
The Women in Finance Charter was introduced as part of the Government’s aspiration to improve gender equality in the UK economy. As both the highest paid sector in the country and the sector in which the pay gap is the most stark, the financial services industry received its own review into the representation of women in senior management roles.
What does the charter require?
- Commits firms to supporting the progression of women into senior roles in the financial services sector by focusing on the executive pipeline and the mid-tier level;
- Recognises the diversity of the sector and that firms will have different start points – each firm should therefore set its own targets and implement the right strategy for their organisation;
- Requires firms to publicly report on progress to deliver against these internal targets supporting the transparency and accountability needed to drive change.
What has OneSavings Bank Pledged to Achieve?
We’re committed to increasing the representation of women undertaking senior positions within our organisation as we firmly believe that greater diversity strengthens the capabilities of our managers and positively impact our employees.
As such, Our target is that 30% of all Senior Management positions within the OneSavings Bank Group’s UK population will be undertaken by female employees by the end of 2020.
Alongside this target:
- Jason Elphick, Group Counsel and Company Secretary, has been nominated as the senior executive who is responsible and accountable for gender diversity
- We will publish progress annually against our target here on our website;
- We will ensure the pay of our senior executive team is linked to delivery against our gender diversity target.
INTRODUCTION FROM THE CHIEF EXECUTIVE OFFICER
At OneSavings Bank (OSB) we have no tolerance for supporting modern slavery in any aspect of how we do business. We will not tolerate child or forced labour and are committed to the UN Declaration of Human Rights, the UN Guiding Principles of Business and Human Rights and International Labour Organisation Fundamental Conventions.
We are committed to addressing the requirements of the UK Modern Slavery Act 2015.
ORGANISATION'S STRUCTURE AND BUSINESS SUPPLY CHAINS
OSB is listed on the London Stock exchange and is a member of the FTSE 250. We are incorporated in the UK and headquartered in Kent. OneSavings Bank group is made up of a family of specialist financial services brands and subsidiaries, namely, Prestige Finance Limited, InterBay Commercial Limited and Heritable Development Finance Limited (together the Group), which primarily focused on carefully-selected sub-sectors of the mortgage market. Its specialist lending is supported by a stable retail savings franchise with 150 years of heritage. Also part of the group is the Bank’s overseas subsidiary, OSBIndia, based in Bangalore it provides primary processing for the Kent Reliance, Jersey and Guernsey brands.
Given the nature of the Group’s business, we believe there is a low risk of slavery or human trafficking having a connection with our business activities. However, there is no room for complacency in that belief and we have taken the following steps to guard against it.
OUR SUPPLY CHAINS AND OUTSOURCING ACTIVITY
We recently established a Group Vendor Management Outsourcing Policy to ensure a robust framework is followed to efficiently manage potential and contracted third party relationships and comply with regulatory obligations.
The Bank complies with Financial Conduct Authority rules in SYSC 8 ‘Outsourcing’. This requires us to:
- take all reasonable steps to avoid undue additional operational risk; and
- take all reasonable steps to ensure that a Service Provider has the ability, capacity and authorisation required by law to perform the outsourced functions, services or activities reliably and professionally.
In accordance with the obligation outlined above, all group contracts were reviewed in 2016 in order to categorise them according to their materiality. Following this review, we have also improved our due diligence checks, including in relation to anti-modern slavery. Our due diligence questionnaire now contains a specific question in regards to how the provider adheres to the Modern Slavery Act. Having reviewed the provisions of our material contracts we are satisfied that they would allow us to take appropriate action if any aspect of modern slavery was found to be taking place in any part of our business or supply chain.
We are developing our risk assessment process to allow us to assess and categorise new and existing vendors based on criteria including vendor type, categorisation of spend profile, geographical location and anti-slavery documentation.
RELEVANT EMPLOYMENT POLICIES
The policies we have in place reflect our commitment to:
- acting ethically and with integrity in all our business relationships; and
- implementing and enforcing effective systems and controls to ensure slavery and human trafficking is not taking place anywhere in our supply chains.
Relevant policies include Recruitment and Selection, Diversity and Equality (including references to pay and benefits) and Ethics. We have a comprehensive Whistleblowing Policy through which the Group encourages its employees and others who have serious concerns about wrongdoing or suspected wrongdoing in the workplace to come forward and voice those concerns.
OSBIndia is also an equal opportunity employer and fully committed to the equal treatment of its employees and job applicants. Its handbook contains a non-discrimination statement which states that the company will not discriminate against any employee or applicant on similar grounds to that in the United Kingdom, but also addressing discrimination highlighted in the modern slavery guidance including caste, national / provincial extraction and lawful political belief.
Due Diligence Process
The new Group Vendor Management Outsourcing Policy will ensure that a number of due diligence checks are undertaken and documented by Relationship Owners before we engage with suppliers and annually throughout the term of the engagement. Relationship Owners are required to make additional enquiries in the procurement processes for goods, services and locations where they are assessed as having a high risk of modern slavery and/ or human trafficking.
On-going monitoring of vendors includes the right to:
- carry out an assessment of anti-slavery controls
- check for any incident / compliance breaches
We are developing a Vendor Code of Conduct for Labour Standards which will set out the minimum standards with which we require our vendors to comply.
We are looking to build and improve our due diligence systems to better:
- identify and monitor potential higher risk areas in our supply chain;
- mitigate the risk of slavery and human trafficking in our supply chains through enhanced contract terms (to the extent appropriate and obtainable); and
- we will expect our direct suppliers to have suitable anti-slavery and human trafficking policies and processes either when entering into a new contract with a new supplier or renewing contracts with existing suppliers; and
- Relationship Owners will communicate our expectations that those suppliers must prohibit modern slavery and human trafficking in the supply chain and that they should work with their suppliers at each stage in their supply chain to manage slavery and human trafficking risk.
To ensure group wide awareness of this issue we have rolled out training on modern slavery and human trafficking to all employees in the group. As at the date of publication 100% of our employees have taken the training. We will also provide training to educate relevant employees, including Relationship Owners, on the importance of implementing and enforcing effective systems to ensure slavery and human trafficking is not taking place within our business or suppliers.
OUR EFFECTIVENESS IN COMBATING SLAVERY AND HUMAN TRAFFICKING – PERFORMANCE INDICATORS
We are continuing to develop our understanding of the issues in order to minimise the risks involved in modern slavery. Policies, process and controls will be reviewed and we will monitor our supply chain to identify areas of high risk. During 2017/18 we will consider KPIs around training and vendor management to ensure the effectiveness of our approach to modern slavery.
This statement has been approved by the OSB Board and is made pursuant to section 54(1) of the Modern Slavery Act 2015 and constitutes our group's slavery and human trafficking statement for the financial year ending 31 December 2016. This statement will be reviewed and updated (if necessary) annually to reflect the group’s ongoing goal to ensure that our business and its supply chains are free from slavery and human trafficking.
Chief Executive Officer
ONESAVINGS BANK PLC
Date: 30 June 2017