M&S Bank – a JV between Marks & Spencer and HSBC – has announced plans to launch its first mortgage product.
Assuming regulators approve it, M&S mortgages will be available directly from the bank (which is celebrating its 5th anniversary this year) and via broker channels from early 2018. Products are being teed up for first-time buyers and as well as for those further up the housing ladder.
The launch “marks a key milestone in M&S Bank’s history,” says bumf, “as the final step in its transition from a financial services provider to a full-service bank.” The retail giant launched its first current banking account in 2012 (with a monthly fee), followed by a more mainstream fee-free current account in 2014.
M&S is the latest in a spree of supermarket chains moving into the property finance world. Sainsbury started to offer mortgages earlier this year, while Tesco has been in the field since 2012.
Sue Fox, CEO of M&S Bank: “Since launching as a bank just five years ago, the M&S current accounts have proven incredibly popular with customers who want a transparent bank account, with no overdraft charges, and the same great service they have come to know and expect from the M&S brand. We’re incredibly excited to be able to bring this M&S-standard service to customers purchasing a home, whether they’re making their first or final step on the property ladder, and for every move in-between.
“Many of our customers have shopped with M&S their whole lives, feeling the comfort of the brand at every key life event, from their first day of school, to their first job interview, and every Christmas, wedding and family get-together along the way. We’re now in a position to support our customers with the biggest financial decision they’ll ever make – their home. And we know this isn’t just a financial decision – it’s about family, friends and future – and the memories that make up the tapestry of our lives.”