Nationwide chief outlines 'different' net strategy

The building society has pushed on with a multi-platform approach to providing financial
services using the Nationwide brand. At the same time, it manages mainframes and high-end servers in-house from IBM, ICL, Tandem (Compaq) and Unisys.

He claimed spin-off internet ventures aren't the way to go. "We have the internet fully integrated with our services. We don't have smiles, cahoots, eggs and if onlys," he said, referring respectively to standalone online businesses from Co-op Bank, Abbey National, Prudential and mortgage bank Halifax's delayed IF service.

Davis also explained why his organisation dislikes outsourcing. "Our products are our technology. Outsourcing means giving up our biggest competitive advantage," he said.

The former rocket fuel specialist predicted a future or financial services closely tied to technology, talking about the growing importance of data storage, biometrics and digital signatures.