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More than 5000 entries on the history, culture and life of Britain (published in 1993 by Macmillan, now out of print)
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building societies
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Traditionally non-profit-making organizations, which in recent decades have made possible the great increase in home ownership by means of mortgages. The first building society was set up in Birmingham in 1775. Each member paid a regular subscription; lots were drawn as to whose house should be built first; once every member had a new home, subscriptions ended and the society was wound up.
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'Terminating societies' of this sort were replaced in the mid-19C by 'permanent societies' in which investors (wanting interest on their money) were distinguished from borrowers (wanting a loan to build a house). There was no need for such a society to come to an end, and by the late 20C, with escalating house prices, they had grown to a massive size. In 1989 the Abbey National became the first building society to convert itself into a profit-making public company.
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