Bluestone Mortgages has announced an expansion in its funding relationship with the launch of a new facility from National Australia Bank, with mezzanine funding provided by accounts managed by Cairn Capital.

The transaction follows the launch earlier in the year of a financing facility with Shawbrook Bank, taking Bluestone’s aggregate funding capacity to in excess of £300m.

The new funders have been introduced alongside Bluestone’s existing funding arrangements with Macquarie Bank, to diversify and broaden its funding base in Europe.

The funding line follows Bluestone’s recent appointment of Steve Seals as director of sales and distribution.

David Torpey, managing director of Bluestone Mortgages, said: “Today’s announcement confirms our ongoing commitment to growth here within the UK and the rest of Europe. Our new funding line not only gives us a deeper capacity and support to grow the business, but importantly further diversifies our funding base to enable richer product innovation, and deliver greater stability to our services in the EU.

“We will continue to serve customers who are underserved by mainstream lenders and believe our new funding allows us to meet these borrowers’ growing needs.”