Foundation halts lending and furloughs staff

All pre-offer applications with the lender have also been put on hold.

Some staff are to be furloughed in April, during which time advisers’ normal contacts may not be available.

Brokers have been asked to contact Foundation’s central helpline if they need assistance.

The suspension of new lending is a temporary measure, according to Hans Geberbauer, chief executive of Foundation Home Loans.

He said the move allows the group to focus on supporting existing borrowers, including arranging payment holidays.

And that during this time, Foundation can re-evaluate its product offering within the current environment.

Geberbauer added: “These decisions have not been taken lightly but we believe they are necessary; we will be doing all we can to assist both our staff and all our intermediary partners during these challenging times.”

It comes as many specialist lenders make changes to their offering amid the coronavirus pandemic.

TML has paused residential applications, while Fleet and Landbay have limited products to 60 per cent LTV.

Kensington has limited applications to 70 per cent LTV.