Nationwide customers to get £50 each after Virgin deal

More than 12 million customers of Nationwide will each receive a payment of £50 following the takeover of Virgin Money.

The Nationwide, the UK's largest building society, described the money as a "thank you" to its , at a cost of £600m.

However, there was criticism that the same were not given a vote on the £2.8bn acquisition of Virgin Money last year.

Most customers will receive the £50 directly into their s by the end of April, although some will be paid by cheque.

Nationwide is writing to receiving the payment from now to let them know how and when they will get the money.

The payments will go to more 12 million customers who:

• Had a savings or current , or mortgage, at the end of last September
• Additionally, have made at least one transaction on their current or savings, or had a balance of at least £100 in their current , savings or mortgage in the 12 months to the end of September last year
• Still have their s or mortgage at the time the payment is made

Those criteria mean about four million customers will not receive the payment.

The customers of Virgin Money - which was the name for the Clydesdale and Yorkshire bank group - will not be eligible for the money either.

Debbie Crosbie, Nationwide chief executive, said the payment "recognises the role our played in building the financial strength that made the deal possible".

Following last year's deal - the biggest banking takeover since the financial crisis - Nationwide became the UK's second largest provider of mortgages and savings s.

However, there was some controversy over the fact that, while Virgin Money were given a vote on the deal, Nationwide were not. Nationwide's board decided no member approval was required.

The £50 payment is separate to Nationwide's so-called fairer share payments scheme, which periodically returns some of its profits to .