He replaces Nationwide Building Society chief executive Graham Beale who has held the post for the past year.
The Hanley is 30th on the BSA’s list of building societies by size, with £348m in assets. Webster has worked at the building society since 2002. Principality Building Society chief executive Peter Griffiths has taken over as BSA deputy chairman from Webster.
Webster says: “I feel privileged to be elected chairman of the BSA and will do everything I can to promote the virtues and values of the mutual sector.
These are tough times for our businesses and our customers but I believe we can look ahead with optimism as the lessons of the last two years have reminded us big is not necessarily best.”