TBMC, the Cardiff-based mortgage broker business, will be closing and will no longer accept new applications from today.

The closure of TBMC follows a comprehensive review by its parent company Paragon Banking Group PLC and is in line with Paragon’s strategy of prioritising investment in its core operations.

In a statement, Paragon  insisted the closure of TBMC would impact a small number of employees but would have no effect on the performance of the wider group as it does not make a material contribution to Paragon’s profits.

Since TBMC’s acquisition in 2007, Paragon’s mortgage intermediary distribution model has undergone significant evolution and expansion.

Consequently, TBMC is no longer considered to be strategically core to the company’s distribution network.

Paragon Bank Managing Director of Mortgages  Richard Rowntree commented: “We appreciate this is difficult news for our colleagues at TBMC and I thank Jane Simpson and her team for the service they have given to the company over the years.”

He added: “Paragon’s mortgage distribution model has evolved and broadened significantly since TBMC was acquired in 2007 and, as such, TBMC is today considered a non-core operation.

“As one of the leading buy-to-let lenders in the UK, our strategy remains focussed on growing lending in specialist segments of the market, particularly in areas where larger banks fail to adequately serve customers.”