Atom bank has reported record levels of Near Prime mortgage business, setting new monthly highs for both applications and completions in April 2025, amid what it describes as a growing demand from borrowers with less-than-perfect credit histories.
The Durham-based digital bank, which is the UK’s highest-rated mortgage lender on Trustpilot, saw Near Prime mortgage applications increase by 28% in April compared to March, itself a record month. The figures represent a near threefold increase on April 2024 levels.
The value of applications rose even more sharply, climbing over 35% month-on-month to a new high. On a year-on-year basis, the value of April applications was up 64%. Atom’s financial year figures also reflect this momentum, with Near Prime application values up 58% and volumes rising 57% over 2024–25. Completions showed similar strength, with both number and value increasing by 48%.
The surge in activity comes after a series of enhancements to Atom bank’s Near Prime mortgage offering. Aimed at borrowers with minor credit issues, these products now come with more flexible lending criteria and improved accessibility. In 2025 alone, the bank has reduced Near Prime rates three times, and earlier this year it raised the maximum loan-to-value to 90%, expanding eligibility for those with smaller deposits.
The latest improvements build on criteria changes made last year, including raising the allowable threshold for unsatisfied registered defaults from £1,000 to £2,500 and reducing the default ‘look back’ period from three years to two.
Richard Harrison (pictured), head of mortgages at Atom bank, said the recent performance demonstrates that both brokers and clients are responding positively to the bank’s strategy. “Setting new internal records for both applications and completions on our Near Prime range shows that brokers and their clients are connecting with what we are doing at Atom bank,” he said.
“We have opened up borrowing to customers who might otherwise have to rely on specialist lenders by introducing more flexible criteria, increasing the maximum LTV to 90%, and delivering consistently competitive pricing, alongside the strong service speeds we are known for.”
He added that with recent economic challenges leaving more borrowers in a Near Prime position, lenders have a growing responsibility to provide a pathway back to Prime status. “It’s crucial for lenders to support such borrowers not only with their needs in the here and now, but also to regain Prime status. It’s something we are passionate about at Atom bank, and the figures speak for themselves.”
