Shawbrook cuts commercial rates

The sales and marketing director of Shawbrook’s commercial mortgage arm said the price cuts, ranging from 5bps to 35bps, would help its broker partners attract more business, especially in the buy-to-let market.

The firm is also expanding the number of loan-to-value brackets it offers, based on sales figures showing that half of all its business was based on lending below 60 per cent LTV.

These categories encompass those clients buying into single residential properties, student lets, commercial and semi-commercial property portfolios and pubs.

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Products in the trading business and residential and commercial investment categories are all affected.

It follows Santander’s recent decision to cut its two-year tracker rates on residential mortgages by up to 0.45 per cent.

In 2012, Shawbrook Bank launched a dedicated broker hub to provide mortgage calculators, a quick quote tool and the ability to generate a personalised Shawbrook-branded illustration, which could be sent directly to clients.

Adviser view

Henry Knight, managing director of London-based Springtide Capital, said: “There seems to be a much greater appetite for commercial lending from various players in this space, so we could see more competitive deals come onto the market in the next few months.”