In an effort to grow the company into a significant retail bank, the deal was made available earlier this month.

Additionally, Nationwide declared that it would expand its Branch Promise by an additional two years in order to open more branches until 2028. If successfully obtained, this will also apply to Virgin Money branches.

According to the building society, the agreement would give clients access to better lending rates and value savings while also expanding the company's customer base in the UK.

Nationwide revealed that Muir Mathieson, the current CEO of Virgin Money, will step down and be replaced by CFO Chris Rhodes.

Nationwide Chairman Kevin Parry stated: "The Board of Nationwide has determined that the binding offer to purchase Virgin Money is in the best interests of the Society and its current and future members after giving it careful thought, conducting the necessary due diligence, and taking member feedback into account."