Vida Homeloans, like some other non-bank lenders, has been forced to withdraw their buy-to-let and residential product ranges due to limited access to capital markets funding.
The ongoing volatility in the market has left Vida with little choice other than to temporarily withdraw the Vida 1,2 and 3 tiers within its buy-to-let and residential product ranges.
This decision is designed to protect the long-term future of their business, preserve jobs and support existing customers.
Vida will continue to offer products on its buy-to-let Vida 4 and 5 ranges.
Anth Mooney, chief executive of Belmont Green Finance which owns Vida Homeloans, commented: “As challengers to the big traditional players in the UK mortgage market, non-bank lenders like Vida cannot currently access the liquidity facilities announced last week by HM Treasury and the Bank of England.
“As we are treated differently from the high street banks, we have taken swift and decisive action to protect our business.
“All other non-bank lenders are facing into similarly difficult choices right now, as they weigh the tough challenge of maintaining customer access against the imperative of securing a sustainable future for their people and business.
“This is an industry-wide challenge, not one that we face alone.
“Trading to date in 2020 has been very strong, but with continued uncertainty over the ongoing market impact of COVID-19, we have acted early to conserve liquidity and focus on serving our existing customers at this difficult time.
“As the picture hopefully becomes clearer in the weeks ahead, we will keep our proposition under review and re-open our full product range for new customers as soon as market conditions allow.”
Vida is fully engaged in serving its customers and intermediary partners, according to Louisa Sedgwick, managing director of mortgages at Vida Homeloans.
She added: “We are working closely with the intermediary community, industry bodies like IMLA and UK Finance as well as with our close competitors, to ensure that as an industry we come together to do the very best we can to help customers at this difficult time.”