Atom bank has reduced the cost of its variable-rate commercial mortgage range by 30bps. 

Rates will now start at 2.12% above base rate for loans at 45% LTV, with products going up to 75% LTV for loans of up to £1m. It will lend on larger loans, but only to  70% LTV.

For those looking for a commercial mortgage at 60% LTV, Atom bank will now charge 2.93% above base rate for a trading business and 2.89% for a property investment.

At 50% LTV, these rates fall to 2.62% for a commercial mortgage (trading business) and 2.58% for a property investment. 

The range includes its Business Banking Secured Loans (BBSL) and Recovery Loan Scheme (RLS) products, with rate cuts effective immediately. 

Atom bank head of business lending Tom Renwick says these more competitive variable rates options complement its fixed-rate product range. “Price is a huge factor for brokers when looking to secure a commercial mortgage for their business clients. With the market expecting a reduction in base rate in the months ahead, the appeal of variable rate mortgage deals has increased for many business borrowers.”

He adds that Atom bank continues to focus on improving its technology to ensure a more efficient process. “We have made more than 170 upgrades to our commercial lending broker portal in the last year, helping us reduce our application to agreement in principle (AIP) and offer timescales to industry-leading levels, while our Quick Quote tool makes it easier for brokers to provide clients with an immediate indication of what their funding is likely to cost.”