Accord Mortgages is to widen a pilot to pay brokers a procuration fee for retained business on residential mortgages.
The intermediary-only lender began the pilot scheme last year and will now extend it to a limited number of additional partners.
The retention procuration fee under the pilot scheme is 0.3 per cent.
Accord - part of the Yorkshire Building Society Group - stated it wants to identify if any improvements are needed before the scheme is rolled out to the full broker market.
David Robinson, national intermediary sales manager at Accord, said: “We are committed to helping brokers build meaningful connections with their clients and this involves recognising the effort they make to ensure borrowers get the right remortgage deal.
“We have decided to extend our pilot to coincide with a significant maturity period coming up, which will give us a great opportunity to fine-tune this new initiative and ensure it is fully robust before we make a decision to offer it market-wide.”
Accord's move came after HSBC revealed it was reviewing its approach to the way it pays intermediaries after becoming the sole major lender not to offer procuration fees on retention mortgage business.
Earlier this week Nationwide announced it was to introduce procuration fees by the summer, launched simultaneously to all intermediaries.
The building society will offer a procuration fee of 0.2 per cent to intermediaries for all existing customers switching product, and will include both prime Nationwide lending and its specialist buy-to-let arm, The Mortgage Works.
Commenting on Accord's move, David Hollingworth, associate director at London and Country Mortgages, said: “Retention is one of the big topics at the moment and more and more lenders are underlining their commitment to involving brokers in that.
“Accord is another showing it is committed to involving intermediary parties in that process, and that is really positive.”
simon.allin@ft.com
