A new digital bank focused on the African diaspora and other under-served communities is set to begin offering residential and buy-to-let mortgages in the UK, after receiving full authorisation from the Bank of England.

Afin Bank, which is majority-owned by Sierra Leonean reinsurer WAICA Re, is set to start lending from today.

Its mortgage products are designed for foreign nationals, self-employed professionals and others often excluded from mainstream lending due to limited UK credit histories or visa-based residency.

The move marks the formal market entry of a bank that has attracted attention since securing a restricted banking licence in October 2024. That provisional authorisation limited the bank’s deposit-taking activity to £50,000 while its systems and processes were tested. Full authorisation, granted last week, clears the way for Afin to begin lending at scale.

The lender’s focus is firmly on diaspora communities, particularly African, Indian and eastern European nationals living and working in the UK. Internal polling by the bank found that 87% of African nationals surveyed had been turned down for a mortgage by a mainstream lender, with nearly a third citing lack of UK credit history as the reason.

Jason Oakley, chief executive of Afin Bank, said traditional lending systems failed to accommodate the real circumstances of foreign-born borrowers. “The problem is that so many mainstream lenders have highly automated processes that can’t deal with the circumstances that the African diaspora and other foreign nationals face, such as their visa or credit status, so they end up being rejected,” he said.

The bank aims to offer an alternative form of underwriting, using international credit and employment history alongside UK earnings to assess affordability. Oakley, who previously launched Recognise Bank and held senior positions at Metro Bank and RBS, said many of the target borrowers are professionals or business owners with strong earning potential.

OTHER OVERLOOKED BORROWERS

In addition to diaspora communities, Afin will also serve the self-employed, another segment frequently overlooked by high street lenders. Its mortgage range will include high loan-to-value options of up to 90%, with products aimed at first-time buyers, home movers and landlords. A fixed-rate savings offering is due to follow in the coming weeks.

WAICA Re has invested £62 million into the venture. The reinsurer, which operates across West Africa and in Dubai, has positioned Afin as a purpose-driven lender targeting financial exclusion in the UK mortgage market.

Afin has also built out its distribution infrastructure ahead of launch. A strategic partnership with Access Financial Services was announced in July, giving the lender semi-exclusive access to a broker network that has deep experience serving African and foreign national borrowers. Access FS, where 90% of advisers come from diverse backgrounds, will distribute Afin’s products through advisers familiar with the unique challenges facing diaspora clients.

Nick Jones, mortgage sales and marketing director at Access FS, said the partnership would help to close long-standing gaps in the market. “Many professional Africans in the UK, working in sectors such as health or finance, don’t get the support they need from mainstream lenders when they’re trying to buy a home,” he said. “With Afin Bank, we’re working to change that.”

Afin’s executive team includes a number of experienced figures from the UK’s specialist and challenger lending sector. Alongside Oakley, the founding team includes intermediary sales director James Briggs, formerly of Precise Mortgages, and Alan Davidson, previously of Together and RBS. Chief operating officer Nicola Tunney and chief financial officer Charles Resnick complete the line-up.

To support its mortgage proposition, the bank has also partnered with Pure Panel Management for surveying and valuation services. The arrangement will see valuations carried out across the UK by a panel of over 900 surveyors, with the aim of streamlining the process for brokers placing complex cases.

Peter Hale, who joined as head of finance earlier this year from FCMB Bank UK, said the mission to serve diaspora and self-employed borrowers was central to the bank’s purpose. “The proposition of providing effortless banking to under-served customers… was really easy to get on board with and one that I am excited to help deliver,” he said.