Atom bank has reduced rates across its 90% loan-to-value near prime mortgage range, marking its second set of cuts to the proposition this year.

The lender has lowered all products at 90% loan-to-value for both purchase and remortgage by 0.10%, with the changes taking effect from 19 February.

Following the reductions, rates on 90% LTV near prime products now start at 5.64% for eligible borrowers.

FOCUS ON HIGH LTV LENDING

The latest move follows a 0.10% reduction in January to near prime products available up to 85% LTV, underlining the lender’s continued emphasis on borrowers with smaller deposits and more complex credit profiles.

Atom bank said research conducted towards the end of 2025 indicated that brokers were seeing increased demand from clients with imperfect credit histories. Advisers also expected enquiries from such borrowers to rise further during 2026.

Over the past year, the bank has expanded its near prime proposition, including increasing the maximum LTV to 90% and introducing new product fee tiers at £1,500 and £1,995 following broker feedback.

It has also launched its Near Prime Index, bringing together economic analysis, internal data and broker insight to track trends and challenges facing borrowers with some level of adverse credit.

Richard Harrison, head of mortgages at Atom bank, said: “We have seen significant interest in Near Prime mortgages already this year, whether from those looking to purchase a new property or refinance an existing home loan, so it’s pleasing to be able to introduce this reduction on our 90% LTV products.

“Given house price growth and the challenges in saving a deposit, high LTV lending is absolutely crucial, regardless of whether the borrower has a spotless credit record or not.

“These reductions ensure borrowers continue to benefit from great value and a slick experience with Atom bank, irrespective of their credit history or the size of their deposit.

“We have more plans to improve our Near Prime range this year as we continue to make our mark in this important area of the market, so watch this space.”