Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Aldermore Reports £10.4bn Gross Property Lending for 2026

Aldermore Bank has reported £10.4bn in gross property lending for the year ending June 2026, up from £8.7bn the previous year. The bank’s property finance division was identified as its primary driver of growth, with specialist buy to let (BTL) lending and the acquisition of Octane Capital contributing significantly.

Aldermore’s acquisition of Octane Capital added £500m in bespoke bridging, refurbishment, and development exit loans to its portfolio. The bank stated that this acquisition widened its capabilities in specialist lending and enhanced its ability to support professional landlords and developers.

The property finance book at Aldermore comprised £7.7bn in BTL loans, an increase from £6.7bn last year, and £2.7bn in residential mortgages, up from £2bn. The bank made changes to its residential proposition, including enhancements to mortgage affordability and improvements to its loan-to-income (LTI) ratios. These changes resulted in a 7% fall in affordability-related rejections and an increase in lending above 4.5 times LTI from a share of 6.6% to 12%, while maintaining responsible lending standards.

Over the year, Aldermore supported more than 2,000 first-time buyers and provided over £160m in finance to borrowers with complex financial circumstances or adverse credit histories. The bank reported a profit before tax of £51.2m, down from £193.5m the previous year. Aldermore attributed this decrease to charges related to the Financial Conduct Authority’s (FCA) motor finance redress, restructuring charges, and costs associated with its sale, following its parent company’s decision to pull out of the UK market and put Aldermore up for sale.

Aldermore recognised a net impairment release of £1.3m within its property finance division, compared to a release of £10.5m last year. The bank stated that its portfolio remained “well-collateralised” with low arrears and limited exposure to high loan-to-value (LTV) bands.

These developments are relevant for UK letting agents and inventory clerks, as Aldermore’s increased activity in the buy to let and specialist lending sectors may impact landlord financing options and property transactions in the coming year.