Platform; the intermediary mortgage brand of The Co-operative Bank, will not consider letting conditions across all mortgages that restrict landlords from letting to tenants in receipt of housing benefit.
Although the clause wording will remain part of some documentation and processes in the short term, while system updates are made, all changes will be implemented to remove the condition by 19 May 2019. Landlords will be able to let to tenants at their discretion from 1 April 2019 and in line with the other conditions of let which are set out in the terms and conditions of their mortgage. This change will also be replicated across all lending brands of The Co-operative Bank.
Gordon Soutar, Managing Director of Mortgages at the Co-operative said: “We are glad to be able to remove this condition to the benefit or our landlords and prospective tenants who previously may have been restricted from taking up tenancy due to the inclusion of this letting condition in our mortgage terms and conditions.
“Our charity partner Centrepoint have raised this issue and the potential impact that this condition of let could have on the young people they work with. This is not a condition that we want to continue to include in the mortgages that we offer and we will no longer enforce these clauses in our mortgage terms and conditions from Monday 1 April and we will completely remove this condition from our processes and systems with a completion date of 19 May 2019.”