Atom bank has reduced rates across its near prime mortgage range by 10bps.

The reductions apply across the lender’s full range, from 60% LTV to 90% LTV, including both fee-charging and fee-free products.

Rates now start at 5.39% for a two-year fixed rate at 60% LTV, with a £1,995 fee.

Atom bank said it has made a series of changes to its near prime range to give brokers and borrowers more options. These have included raising the maximum LTV to 90% and launching products with £1,500 and £1,995 fees following broker feedback.

The lender said recent research carried out during a webinar, following publication of the second edition of its Near Prime Index report, found that 81% of brokers had seen an increase in clients with adverse credit or who had failed traditional credit scores over the past 12 months.

A further 89% said they expected to see further growth over the rest of the year.

Richard Harrison (pictured), head of mortgages at Atom bank, said: “We are always looking for ways to improve our Near Prime proposition, so we are pleased to be able to introduce these rate reductions.

“These cuts apply across our full Near Prime range, irrespective of LTV or product fee tier, ensuring that all prospective borrowers benefit.

“Near Prime is taking on growing importance for brokers, representing a bigger proportion of their daily workload, which is why it’s important for lenders to embrace the sector.

“Atom bank has always had a focus on innovative criteria and product design within this space, and we have big plans for the months ahead to support even more borrowers who fall just outside of mainstream lending criteria.”