Mortgage News
Nationwide in talks to acquire Sainsbury’s mortgage book
Nationwide has confirmed it is holding discussions to acquire Sainsbury’s Bank mortgage book for £1.9bn.
The supermarket announced its exit from the mortgage market in September, just over two years after it re-entered the sector. Sainsbury’s has around 10,000 mortgage customers and in 2018, it completed £1.1bn in mortgage lending.
A spokesperson for Nationwide told Mortgage Solutions: “We can confirm we are in discussions with Sainsbury’s Bank regarding the purchase of the mortgage book.
“At the moment, this may or may not lead to a deal in the future. It’s too early to comment further on that.”
A spokesperson for Sainsbury’s Bank said exploring the sale of the book was one of its options among others but said they were not giving any further updates.
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Lloyds Banking Group is also rumoured to be bidding for the Sainsbury’s mortgage book, which would make it its second supermarket bank acquisition. Lloyds bought Tesco’s £3.7bn mortgage book in September. It placed those customers under the Halifax brand and will allow them to switch to Halifax products at the end of their fixed term.