Buy-to-let (BTL) specialist lender Fleet Mortgages will increase its procuration fee for new business to reward the work of advisers.
The new business proc fee will go up from 0.5% to 0.55%.
The lender said the decision to increase the fee was to recognise the work carried out by advisers and the heightened burden from Consumer Duty to deliver positive client outcomes.
Steve Cox, chief commercial officer at Fleet Mortgages, said: “We’re acutely aware that the workload for advisers continues to grow, particularly in a highly competitive product environment, and with regulation like Consumer Duty demanding more work in order to keep on top of available products so as to deliver a positive customer outcome.
“This is why we decided to review our procuration fee levels to ensure they remain commensurate with the work involved, and so Fleet remains competitive within our peer group.
“After such a review, we’re very pleased to announce today’s increase taking our procuration fee for new business up to 0.55% and signalling to all our intermediary partners that we value the work they are doing, the advice they are providing, and their choice to recommend Fleet to their landlord borrower clients.”
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Phil Rickards, chair of L&C Mortgages, said: “It’s great to see this positive move from Fleet, recognising the increasing demand placed on advisers.
“With nearly 90% of all mortgage business now transacted via an intermediary, this also goes a long way to demonstrate Fleet’s ongoing commitment to the specialist lending sector in particular.”
Fleet Mortgages recently lowered five-year fixed rates at 75% loan to value (LTV) by up to 0.15%.
