This week’s top headlines: Nationwide Building Society is expected to axe 600 jobs and Halifax brand to disappear after 173 years.
Explore these and other major industry updates below:Nationwide ‘set to axe 600 jobs’
Nationwide Building Society is reportedly consulting on around 600 job cuts following its £2.9bn takeover of Virgin Money, as the integration creates overlap in some roles.
The building society said it is working with staff and unions during the consultation process and remains committed to retaining employees where possible, while continuing to expand its banking operations.
Halifax brand to disappear after 173 years
Lloyds Banking Group has confirmed it will retire the historic Halifax brand after 173 years, with existing customers gradually moved to Lloyds-branded accounts and branches, while new products will no longer be offered under the Halifax name.
Halifax Intermediaries will become Lloyds Intermediaries in 2027, marking the end of one of the UK’s most recognisable banking and mortgage brands following its integration into Lloyds Banking Group after the 2009 financial crisis.
Burnham pledges biggest council housing push since post-war era
Andy Burnham has pledged the largest council house building programme since the post-war era as part of his bid to become Prime Minister, arguing that the UK’s housing crisis is damaging both households and public finances.
Speaking in Manchester, he also promised greater devolution through a proposed “No10 of the North”, while insisting his plans would be delivered within existing fiscal rules and supported by sound public finances.
Barclays, NatWest, Santander and TSB lead major reprice
A fresh wave of mortgage rate cuts has swept the market, with Barclays, NatWest, Santander and TSB all reducing rates this week as competition among lenders intensifies.
NatWest is cutting selected rates by up to 31bps, Santander by up to 21bps, TSB by up to 20bps and Barclays by up to 13bps, while specialist lenders including Molo Finance and Kensington have also announced reductions, offering borrowers improved deals across residential and buy-to-let products.
Net lending plunges 34% to lowest level in a year: BoE
Net mortgage lending fell sharply by 34% from £4.4bn in April to £2.9bn in May, according to the Bank of England, marking the lowest monthly total in a year.
House purchase approvals dropped 15% and remortgage approvals fell 34%, with industry experts attributing the slowdown to affordability pressures, higher mortgage rates earlier in the year and growing caution among borrowers despite underlying demand for housing remaining resilient.
Legal claim worth £4.5m launched against UK housebuilders
A collective legal claim has been filed at the Competition Appeal Tribunal on behalf of more than 700,000 people who bought new-build homes in Great Britain between 2015 and 2026, alleging that major housebuilders shared sensitive pricing information and kept prices artificially high. The claim, which seeks between £2.2bn and £4.5bn in compensation, targets firms including Barratt Redrow, Bellway and Taylor Wimpey, though the allegations are still to be tested in court.
High street lender rate cuts “clear sign” competition is gathering pace: MAB
A wave of mortgage rate cuts from major lenders, including Barclays, NatWest, Santander and TSB, signals intensifying competition in the UK mortgage market, according to Mortgage Advice Bureau’s Rachel Geddes.
She said the reductions could ease affordability pressures for first-time buyers and offer more choice for remortgage and home-mover customers, although they are unlikely to transform the overall affordability picture.
Govt considers creating its own housebuilder, say reports
The government is reportedly considering creating a state-owned housing developer to help boost supply, with the entity able to borrow at lower rates than private builders.
The proposal, linked to Steve Reed and potentially aligned with Andy Burnham’s housing ambitions, comes as forecasts from Savills suggest the UK is likely to deliver only around half of the 300,000 homes a year target over the next five years.
Rising build costs, weak planning pipelines and affordability pressures are all weighing on supply, with completions expected to fall further before any recovery.
Purchase and remortgaging up in Q2 but decline forecast: BoE
UK mortgage lenders saw a rise in residential purchase, remortgage and buy-to-let demand in Q2, according to the Bank of England’s Credit Conditions Survey, but they expect a sharp reversal in Q3.
Demand balances for remortgaging and prime lending are forecast to fall into negative territory, while buy-to-let demand is also expected to weaken significantly.
Lenders also reported tighter conditions for some higher loan-to-value borrowing, alongside broadly stable default rates.
Three equity release firms combine to form Sovereign Life
Age Partnership, Pure Retirement and Advise Wise have been brought together under a new umbrella organisation called Sovereign Life Group, which will operate across later life lending while each brand retains its identity and management teams.
The group aims to combine lending, advice and technology to improve customer outcomes and strengthen resilience in the sector, according to chief executive Jonathan Thirkill.
Founder Andrew Thirkill said the move builds on efforts to improve awareness and access to later life finance, including equity release, while maintaining a focus on advice quality and consumer protection.
