Cheltenham & Gloucester will no longer accept mortgage business via brokers from the end of this month, while its parent company Lloyds Banking Group announces it will axe nearly 600 jobs.
In a statement C&G said it will cease operating in the financial adviser market from 31 March 2011. The lender will continue to service its exiting customers.
There will be no impact on clients’ existing mortgages or on any applications already submitted, C&G said. Customers can continue to manage their accounts through C&G’s branch network and by telephone.
C&G’s parent company has also announced it will cut a further 570 jobs as it continues its cost-cutting measures. The job cuts will include some sales staff from C&G.
As C&G’s focuses on direct business, the remaining mortgage brands within the Lloyds Group will continue to deal with intermediaries. Lloyds’ main broker brand will be Halifax for Intermediaries, while Scottish Widows will focus on niche mortgage products, including offset and flexible mortgages. BM Solutions will continue to focus on buy-to-let products.
Lloyds said it is writing to all customers who are in the process of taking a new C&G mortgage, or have made changes to their mortgage via an intermediary for information and reassurance. All other existing customers will be notified as part of their annual mortgage statement letter.
Lloyds said it is writing to all customers who are in the process of taking a new C&G mortgage, or have made changes to their mortgage via an intermediary for information and reassurance. All other existing customers will be notified as part of their annual mortgage statement letter.
