Mortgage Lenders

There are currently around 370 regulated mortgage lenders and administrators operating in the UK. These are the official providers that report their quarterly lending data directly to the Bank of England and the Financial Conduct Authority (FCA).

If you include unregulated specialist lenders, commercial finance providers, and bridging loan lenders, the total number of lenders operating in the UK is estimated to be over 900.

While a mainstream mortgage provider on the high street might be the first place you look, there is a vast market of alternative lenders out there. This means that if you have complex income or a history of bad credit, there are plenty of specialist lenders who can take a broader view of your case and factor this information into their lending decision.

The main difference between high street lenders and the wider market of specialist lenders is as follows:

• Specialist lenders are far more flexible with adverse credit or self-employed borrowers

• Their deposit requirements can sometimes be higher depending on the risk

• Rates and fees on specialist mortgages can also be higher

• Many niche and specialist lenders can only be accessed through a broker

Although there are hundreds of lenders to choose from, the majority of the UK's mortgages are provided by a small group of major banks. Known as the 'Big Six', these mainstream lenders hold roughly 65% of the UK mortgage market share.

The biggest mortgage lenders in the UK include:

1. Lloyds Banking Group (including Halifax and Scottish Widows)

2. NatWest Group

3. Nationwide Building Society

4. Santander UK

5. Barclays

6. HSBC

While these banking giants are ideal for borrowers with straightforward circumstances and a high credit score, they can sometimes reject anyone with credit issues outright. If your application falls outside of their standard rules, you might need to look further afield.

The ideal mortgage lender for you won't necessarily be right for another applicant with a different set of circumstances, so the “best” lenders can vary depending on the borrower.

The UK market is made up of several distinct types of lenders:

• High street banks: The most recognisable household names. They offer highly competitive rates but usually require a clean credit history and straightforward income.

• Building societies: Mutual institutions (such as Coventry, Skipton, or Leeds Building Society) that often take a more manual, human approach to underwriting.

• Specialist lenders: Providers like Kensington Mortgages, Bluestone Mortgages, and Aldermore. They cater specifically to borrowers with adverse credit, complex income, or non-standard property types.

• Private banks: Aimed at high-net-worth individuals who require bespoke, flexible lending criteria.

Just as there are lenders who specialise in bad credit or complex income, there are brokers who work exclusively in these areas too - speaking to one of them can significantly improve your chances of mortgage approval and help you avoid being stung by unfavourable rates.

When choosing a mortgage provider, looking at customer reviews on platforms like Trustpilot or Feefo can be a helpful way to gauge the level of service you might receive. While individual scores will fluctuate over time, certain types of lenders consistently perform well for specific reasons.

Here is a general overview of how different lenders are typically reviewed by borrowers:

• Specialist lenders: Providers like Bluestone Mortgages, Pepper Money, and Kensington Mortgages consistently receive excellent reviews from borrowers with credit issues or complex income. Their praise usually stems from their willingness to take a manual, human approach to underwriting when high street banks have said no.

• Building societies: Mutuals such as Nationwide, Coventry, and Skipton Building Society regularly top customer satisfaction surveys. Because they are owned by their members rather than shareholders, they frequently receive high praise for their personalised customer service and clear communication.

• High street banks: Major players like Halifax, Barclays, and HSBC process thousands of applications a week. While they are often reviewed positively for their competitive rates and slick digital banking apps, their massive size means they can sometimes receive negative feedback for strict, automated "computer-says-no" lending decisions.

Ultimately, the lender with the "best" reviews will depend on what matters most to you - whether that’s a rock-bottom interest rate, an easy-to-use digital app, or a flexible underwriter who will listen to your unique circumstances.

Just as there are lenders who specialise in complex mortgages, there are brokers who work exclusively in these areas too. Speaking to a broker is often the best way to navigate this, as they deal with these lenders every day and know exactly which ones currently offer the fastest processing times and the highest standards of customer care.

This will depend on the age, severity and reason for your credit issues. For minor issues, very old ones or those that there are a reasonable explanation for, it may be possible to approach a high street lender or mainstream building society with bad credit.

However, for more severe and recent credit problems, borrowers often need a bad credit mortgage, which are usually provided by specialist lenders.

You can read more about the available providers in our bad credit mortgage lenders guide.

Mainstream mortgage lenders and most building societies are well placed to offer buy-to-let mortgages, but some lenders - like BM Solutions and Godiva Mortgages - specialise in this area and are often better equipped to meet the needs of the modern landlord.

If you are buying a niche property type - like an HMO or a MUFB - are a portfolio landlord or a holiday let investor, you might be better served by a specialist BTL lender.

You can read more about the available providers in our buy-to-let mortgage lenders guide.

Mortgage fees - such as product fees, arrangement charges, valuation fees, and legal costs - can significantly impact the total cost of your deal. However, finding the "lowest fee" lender depends heavily on the type of product you choose and how much you are borrowing.

Different types of lenders structure their fees in distinct ways:

• High street banks (Fee-Free vs. Low Rate): Major banks regularly offer £0 product fee options across their ranges. While these deals carry slightly higher interest rates, they eliminate upfront setup costs. Conversely, their lowest headline interest rates almost always come with an arrangement fee.

• Building societies (Incentive Packages): Building societies frequently offer fee-free incentives, particularly for remortgages or first-time buyers. These often include free standard property valuations, covered basic legal fees, or cashback on completion to help reduce your upfront outlay.

• Specialist lenders: Specialist mortgage providers usually charge higher setup fees to reflect the additional manual underwriting required for complex cases. These fees are sometimes calculated as a percentage of the total loan rather than a fixed flat fee.

When comparing deals, it’s vital to calculate the true cost of the mortgage rather than focusing solely on low fees or low interest rates. For smaller mortgage amounts, paying zero upfront fees with a slightly higher rate is often cheaper overall. For larger loans, paying an arrangement fee upfront to secure a lower interest rate usually saves you more money over the deal term.

A qualified mortgage broker can run a true-cost calculation across the entire market to reveal which lender offers the most cost-effective deal for your specific loan size.

Yes, using an independent, whole-of-market mortgage broker gives you access to significantly more lenders than if you were to shop around on your own.

While you can walk into any high street bank directly, a major portion of the UK mortgage market operates on an intermediary-only basis. These lenders do not have high street branches or consumer-facing application portals; instead, they distribute their mortgage products exclusively through qualified mortgage brokers.

Working with a broker expands your choices in several key ways:

• Access to broker-only lenders: Dozens of specialist, adverse credit, and buy-to-let lenders - such as Kensington Mortgages, Bluestone, and BM Solutions - can only be accessed via an authorised mortgage broker.

• Broker-exclusive deals: Mainstream high street banks regularly offer lower interest rates, reduced arrangement fees, or special cashback incentives exclusively through broker channels that are not available to direct branch applicants.

• Tailored underwriting matches: Whole-of-market brokers have deep knowledge of every lender's specific eligibility criteria. They can match your exact financial profile - such as complex self-employed income or past credit issues - to lenders who are most likely to approve your application.

• Protecting your credit score: A broker can soft-search lenders to check your eligibility first, preventing unnecessary hard credit checks and outright rejections that could harm your credit profile.

If you have straightforward circumstances, approaching a high street lender directly might be simple enough. However, if you need a specialist deal, complex income assessment, or flexible lending terms, speaking to a whole-of-market broker is often the best way to unlock the full breadth of the UK mortgage market.

You can use our free mortgage sourcing tool at the bottom of this page to compare the latest rates from mortgage lenders across the whole market and choose the deal you want in real time.

We have set this tool to display results from all lenders by default, but you can manually change it to show specialist lenders if you wish. We also have whole-of-market mortgage brokers available if you would like a free, no-obligation chat about your options - get started here.