Lloyds pledges to stay true to broker market

Nigel Stockton, sales director of mortgages at Lloyds Banking Group, has reaffirmed the lender’s commitment to intermediaries after its results showed it grew its mortgage business in 2009 by focussing on branches.

Gross new mortgage lending at the group totalled £35bn in 2009, representing a market share of 24%.

The firm’s results show it continued to make good progress in building its mortgage business in a con- tracting market by focussing on the prime sector through its branch network rather than brokers.

But Stockton says: “We are committed to the broker market and 60% of our business comes from it. We have the biggest distribution in the intermediary sector.

“In the next few months brokers will see further evidence of our commitment with investment in systems. And BM Solutions remains the number one lender when it comes to buy-to-let business.”

The banking giant reported a loss of £6.3bn for 2009 compared with a £6.7bn loss in 2008.

There was also a significant in-crease in impairments, which rose to £24bn from £14.9bn in 2008 principally due to the exposure of HBOS’ portfolios to the commercial property sector.

The Royal Bank of Scotland also announced its results last week, revealing a loss of £3.6bn for 2009 – a significant improvement on the £24.3bn loss it made in 2008.

Gross mortgage lending in 2009 totalled £19.3bn including more than £3.8bn to first-time buyers, with net mortgage lending over the year standing at £11.8bn.