This follows a series of rate increases following a temporary withdrawal of its range last week, when pricing was upped by between 0.4 per cent and 0.65 per cent.
Today, the bank announced that these rates would be held.
Across its large loan range, Santander will increase the maximum loan size from £3m to £5m and will lower the maximum loan to value (LTV) from 70 per cent to 60 per cent.
TSB pulls deals
TSB has removed select mortgages from its offering as of 4pm today.
This includes all of its residential two, three and five-year fixed purchase and remortgage products with a £995 fee. For buy-to-let borrowers, the lender has removed all two-year fixed purchase and remortgage products with either no fee or a £1,995 fee.
In a note to brokers, TSB said: “We expect to return to the market on 21 June for residential products. Further information on buy-to-let products will be in due course. Please submit existing applications for these products by 4pm Monday 19 June as they won’t be available after this time.”
First of many withdrawals?
TSB issued the note to brokers at midday, a move which was met with frustration.
Katy Eatenton, mortgage and protection specialist at Lifetime Wealth Management, said: “Words fail me. This is not an email well received at lunchtime on a Monday. Three hours’ notice of rate withdrawals isn’t considering the client or the adviser.
“It comes as Santander has announced they are keeping rates steady for now, although I do think this will be the first of many withdrawals this week.”
Rohit Kohli, operations director at The Mortgage Stop, agreed and highlighted that this was the fourth change from TSB in a fortnight.
“Other lenders seem to be calmer but being honest I’m expecting there to be more changes through the week, but I hope with more notice than this.”
On the other hand, Michelle Lawson, director – mortgage and protection adviser at Lawson Financial, said while the short notice was not ideal it was a “sensible move”.
She added: “There is so much uncertainty and instability as the Bank of England and government just cannot get a handle on the severity of the situation we are in. I think lenders are just going to be forced in withdrawing completely until the inflation announcement on the 21 June and the subsequent Bank of England rate decision on Thursday.
“This is a dire time for anyone wanting a mortgage currently and, actually, for all in the industry. Somebody needs to step in sooner rather than later and get this disastrous mess on a better path.”
