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.

Vida Bank Reports 141% Surge in Gross New Mortgage Lending

Vida Bank has reported a 141% increase in gross new mortgage lending for the first half of 2026, reaching £840 million, according to its interim report. The lender’s total mortgage book rose to £3 billion, up from £1.8 billion a year earlier.

Net interest income for the six months to 30 June 2026 was £30.5 million, compared to £20.4 million for the same period in 2025. The net interest margin improved to 2.34%, reflecting changes in the bank’s balance sheet and funding mix.

The report noted 11 repossession sales in the first half of 2026, down from 12 at the end of 2025. The impairment charge increased to £500,000, up from £200,000 a year earlier, mainly linked to three previously provided-for accounts.

BTL Lending Drives Higher LTV Exposure

Loans above 70% loan-to-value (LTV) made up 65.2% of Vida’s portfolio, compared to 42.5% a year earlier. The largest growth was seen in the 70–80% LTV band, which increased from 31.0% to 37.3% of the book, representing £1.12 billion in lending. Lending in the 80–90% LTV range also rose, from 9.7% to 20%, equivalent to £602 million.

Buy-to-let (BTL) lending accounted for most of the increase in higher-LTV exposure. BTL balances in the 70–80% LTV range more than doubled, rising from £459 million to £974 million. BTL lending at 80–90% LTV increased from £83 million to £293 million.

As of 30 June 2026, BTL lending comprised 68% of Vida’s mortgage book, with residential owner-occupied lending making up 32%. At 31 December 2025, these figures were 69% and 31%, respectively. Within the BTL portfolio, 43% was attributable to professional landlords, unchanged from the end of 2025.

These developments are relevant for UK letting agents and inventory clerks, as the growth in BTL lending and higher LTV ratios may influence landlord activity and property management trends in the coming months.