Santander has made a reduction in its residential affordability rates following the Bank of England’s base rate cut on the 6th of February.
The lender adjusted its affordability calculations to reflect a 0.25% decrease in residential affordability rates and updated household expenditure figures, allowing customers greater borrowing potential.
Brokers now have the ability to assess how these changes impact their clients by using Santander’s affordability calculator.
In addition to these affordability adjustments, Santander recently became the first high street mortgage lender in 2025 to offer a sub-4% mortgage.
The lender launched a range of new mortgage products, including 2-year and 5-year fixed-rate options at 3.99% for residential purchase and remortgage customers at 60% loan-to-value (LTV).
The changes align with Santander’s broader strategy for 2025, which includes a set of broker pledges designed to tackle common industry challenges.
The bank has committed to ensuring brokers always have access to its best pricing for purchase, remortgage, and product transfer clients, eliminating dual pricing concerns.
Furthermore, Santander has pledged to provide a minimum of 24 hours’ notice for any product withdrawals, reducing pressure on brokers and offering them more time to inform clients about potential changes.
Additionally, Santander is enhancing its product transfer process by developing clearer and more transparent communication channels.
This includes new web content designed to outline the customer journey, updates to product maturity letters, and proactive notifications to brokers when a client’s current deal is approaching its end.
These steps aim to create a smoother experience for both brokers and customers.
