The bank, which is bent on ‘breaking the stranglehold the big five banks have on the UK market,’ lent £3.1bn of mortgages in 2015 and has already confirmed intentions to offer retention fees and is building the functionality.
The lender, which launched in January 2015, said the year so far has seen a unique set of circumstances with borrowers rushing to beat the 3% Stamp Duty surcharge deadline, but added that it still expected a consistent market this year.
The challenger bank currently has a 78% distribution reach through intermediaries and has plans to stretch to whole of market within an as-yet-unconfirmed time frame.
TSB mortgage distribution director Roland McCormack, said: “We need to balance our capacity with service to intermediaries to allow that to happen.
“We want to return all calls within three hours and if we want to become whole of market that does become difficult,” he said.
Profits at the bank have doubled on the previous quarter to £59.9m, which is a rise of 75% on Q1 2015.
Paul Pester, TSB chief executive officer, added: “The extra firepower we now have behind us from Sabadell is helping us to take on the big banks in new areas, such as through our new “Pick and Protect” home insurance product.
“So, whilst I think TSB is doing its bit to break the stranglehold the big five banks have on the UK market, we can’t do this alone. We need the CMA [Competitions and Markets Authority] to use the once in a generation opportunity they have to help us bring the full force of competition to bear on the UK banking market.”
