Top Stories of the Week: The government signs leaseholders reforms to increase home control, and Barclays will become the latest lender and launch a 4% mortgage rate.
Explore these developments and more below. 
https://www.youtube.com/watch?v=p7gdqmkpvcu
Government to sign reforms that will give leaseholders greater housing control
The UK government is implementing reforms to help renters manage more building and service charges, including removing the requirement to pay legal fees for freeholders when administering claims. These measures are part of the Leasehold and Freehold Reform Act of 2024 and will be implemented earlier than scheduled on March 3rd.
Housing Minister Matthew Pennycook said the changes will help renters manage more affordable prices while tackling excessive claims. This is because service fees rose 11% in 2024, surpassing inflation. Further reforms, including the removal of ownership rules for lease extensions, were pushed over the last month.
Barclays will become the latest lender and launch a sub-4% mortgage fee
Barclays has cut interest rates across home purchases and rimmot products, with some below the 4% effective since February 13th. Notable cuts include a five-year fixed green home mortgage dropping to 3.99% and a two-year fixed recoat rate to 4.20%. A new 5-year fixed product will also be introduced, with 3.99%.
Meanwhile, Santander has become the first major lender this year to offer a rate of less than 4% on two- and five-year mortgages. This will remain valid from February 13th.
FOS Chief becomes the fourth watchdog head and suddenly finishes posting
Abby Thomas, chief executive of the Financial Ombudsman Services, unexpectedly resigned in a role that was less than two years old amid concerns that excessive regulation was thwarting growth in the financial sector. Deputy Chief Ombudsman James Dipple Johnstone and Chief Financial Officer Jenny Simmons will be playing her role temporarily.
Thomas is the fourth regulatory director to step down after a warning about overregulation of the prime minister's warning in November. Her departure follows competition and market powers and similar exits in home England, reflecting wider regulatory changes.
Martin resigns from TMA role
Lisa Martin resigns as TMA's DA development director later this month amid internal restructuring within the LSL group, and the team will merge.
Richard Howells, managing director of financial services at LSL, thanked Martin for his dedication, and Martin expressed his gratitude to the broker and viewed the change as a positive step in future opportunities.
Natwest, Paragon Bank and Fleet mortgages reduce fees
Natwest, Paragon Bank and Fleet Mormages have all announced mortgage rate cuts, and continue to trend towards cuts among key lenders. Natwest has reduced fees of up to 36bps across remalts and purchased products, including Green Mortgages.
Paragon Bank reduces 30bps from the 2-year fixed BTL range and offers rates from 3.34% for energy-efficient properties. Fleet mortgages aim to reduce five-year fixed interest rates by up to 25bps across HMO and MUFB products, improving landlords' affordability. These cuts reflect a wider market shift towards offering more competitive mortgages.
Digital Home Being Pilot Government, Rayner says “no excuses” to not build a house
The government plans to digitize the house viewing process to reduce transaction delays, aiming to reduce average five months of waiting by enabling better data sharing among experts has been announced. The HM Land Registry led the pilot project to digitize property information according to Norwegian models, reducing trading time to one month.
Meanwhile, Deputy Prime Minister Angela Rayner reaffirmed the Labour Party's pledge to build 1.5 million homes in five years, urging the council to plan 370,000 homes a year. Critics warn that progress is too slow and Propertymark highlights the need for quick legislative measures to achieve housing goals.
Sharkey Lord calls for a Cooperative Banking Group SFO investigation
Lib Dem Peer Lord Sharkey is seeking serious fraud offices to investigate Mortgage Agency Service Number 5 (MAS5), previously part of the Cooperative Banking Group, for the treatment of mortgage prisoners. .
Financial Ombudsman Service has found that the four standard fluctuation rates (SVRs) for MAS5 increased between 2009 and 2012, adding 2.76%, not justified by rising funding costs.
Lord Sharkey has also pushed the Labour government to respond to the LSE report funded by Martin Lewis.
Santander starts 4% rates on 2- and 5-year mortgages
Santander became the first High Street lender to offer a 4% fixed mortgage rate this year, cutting up to 0.40% on more than 80 products. Starting February 13th, 3.99% (60% LTV) new two- and five-year fixed home purchases and rimmut transactions will be available.
Purchase options are also expanded to the new 65% LTV products. Experts view this as a major move and could lead to a mortgage price war, but caution that broader market conditions could limit similar cuts from other lenders.
Vida Bank appointed Sinclair as chairman
Vida Bank appointed Stuart Sinclair as new chairman and took over Steve Hagerty after nine years of roles. Sinclair, former CEO of Tesco Bank and GE Capital UK, brings a wealth of experience from senior roles at RBS, Lloyds and TSB. His appointment follows Vida securing his banking license in November.
Haggerty will remain non-executive director until September 2025. Last month, Vida Homeloans launched a 97% LTV mortgage range to support first-time buyers and long-term renters.
Quilter hires Bray as director of mortgage distribution
Quilter Financial Planning has appointed Zara Bray as distribution director for the mortgage network. Bray joined from the Legal & General Mortgage Club and took on roles such as Head of Strategic Accounts and Regional Sales Manager during his 20-year tenure.
At Quilter, Bray leads the company's strategy for providing mortgages and protections, reporting to managing director Stephen Friett. She replaced Charlotte Nixon, who moved to Aviva earlier this year. Bray aims to support your business growth while ensuring the highest quality support of mortgage and protection advisors. Quilter's mortgage network advises on loans of more than £200 billion a year.
