Building societies laid claim to being &#34the third way&#34 between old nationalised industries and public companies, at the Labour party conference last week.

Building Societies Association chairman John Heaps, who was speaking at Blackpool, claimed that member-owned mutuals were in line with Labour&#39s vision of partnership and co-operation.

In an attempt to emulate the Labour party&#39s success at reinventing itself for the future, Building Societies Association chairman John Heaps coined the term New Mutualism for the building society movement.

Heaps said: &#34Rather like the Labour Party itself, over the past few years building societies have reinvented themselves, and at the same time, redefined their reason for existence.&#34