Implementing Basel II in the Norwich and Peterborough Building Society

This paper describes the approach taken by the Norwich and Peterborough Building Society (the Society) in implementing models, policies and practices to meet the expected requirements of the third Capital Adequacy Directive as described in consultation papers issued by the Basel Committee, the EU and the Financial Services Authority. The Society is a medium‐sized mutual retail banking operation in the UK providing savings, current accounts and mortgage lending services to approximately half a million customers and operates predominantly in the East Anglia area of England.