Mortgages Uncovered

The SNP has branded the Nationwide’s decision to prevent Dunfermline customers accessing new lower rate mortgages offered by the Nationwide a “disgrace”.

Where the Nationwide is to offer it’s customers rates of 2.5% at the end of their current mortgage term, Dunfermline customers will be restricted to a rate of 5.49% - at a time when the base-rate is currently 0.5%.

This arrangement was part of the Nationwide’s deal when it bought the Dunfermline.

Central Fife MSP Tricia Marwick, whose constituency includes many Dunfermline workers and mortgage holders said:

“This is an outrageous move by the Nationwide.

“Mortgage holders with the Dunfermline will be very angry. When mortgage deals come to an end they should have access to the best deal in what is now one society.

“Their building society has been sold off behind closed doors and now they are expected to pay a premium for the privilege. This raises more questions over the terms on which the Treasury sold Dunfermline.

“Retaining the Dunfermline brand is important, but that should not mean Dunfermline savers and borrowers suffer.

“Scots will bear the cost of any job losses at Dunfermline HQ – they should not have to pay these additional costs as well.”

SNP Westminster Treasury spokesperson Stewart Hosie MP added:

“The Dunfermline deal has been sold by the government as the best deal for customers and workers, but that is already unravelling.

“While I welcome the fact that Nationwide customers will benefit from this new rate, why should Dunfermline customers be treated differently.

“It is clear Nationwide have taken on the mortgages only to rip customers off.

“Nationwide have taken over the best parts of the Dunfermline business, and is even being guaranteed taxpayers money to pay for the takeover – the least we should expect is an even handed approach.”