Skipton becomes the latest to increase procuration fees

Skipton becomes the latest to increase procuration fees

For all new residential mortgage applications received from Monday (5 January), Skipton Building Society’s procuration fees will increase to 0.4 per cent, payable on completion.

The new gross rate applies to both directly authorised and appointed representatives, with brokers asked to contact their distributor to confirm how this impacts them.

Today’s announcement follows on from Skipton increasing its buy-to-let procuration fees by 15 basis points from 0.35 per cent to 0.5 per cent last year.

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Paul Darwin, head of intermediary sales at the lender, said the changes to procuration fees for brokers acknowledged the increased work being carried out by intermediaries post Mortgage Market Review.

Skipton’s decision to increase procuration fees follows hot on the heels of Nottingham Building Society, which last month announced it would pay an extra 0.4 per cent up to a maximum of £2,000 in January.

Last month Accord Mortgages also announced it would increase procuration fees across its residential mortgage range in 2015, to 0.37 per cent for directly authorised advisers, 0.4 per cent for authorised representatives and 0.5 per cent on buy-to-let business.

In September Natwest increased the procuration fees it pays intermediary firms for completed residential mortgages, with Monmouthshire Building Society following suit for some types of its mortgages in November.