Scottish Building Society will invest in both April Mortgages’ existing residential mortgage portfolio and on a forward-flow basis, supporting the lender’s continued origination of longer-term fixed-rate mortgages across the UK

April Mortgages has entered into a funding partnership with Scottish Building Society as it looks to expand its long-term mortgage funding platform and support further growth in lending.

Scottish Building Society will invest in both April Mortgages’ existing residential mortgage portfolio and on a forward-flow basis, supporting the lender’s continued origination of longer-term fixed-rate mortgages across the UK.

April Mortgages said the partnership would broaden its investor base and strengthen its funding model as it continues to grow its presence in the UK mortgage market.

April Mortgages said the mutual structure and long-term capital approach of building societies aligned closely with its own focus on longer-duration fixed-rate lending designed to provide borrowers with certainty and flexibility over the life of the loan.

Dirk Bekkers, chief executive officer of April Mortgages, said: Scottish Building Society is exactly the type of partner that fits our platform: long term in orientation, focused on quality and aligned on the principle that good mortgage lending starts with fair outcomes for customers.

This partnership strengthens our funding base and supports the next phase of our growth as we continue to expand our distribution and product offering across the UK market, he said.

Paul Denton, chief executive officer of Scottish Building Society, added: As a mutual, we’ve always stayed true to our purpose of helping people save and buy homes, an ethos as relevant today as ever.

We’re excited to support more homebuyers while diversifying our mortgage distribution, he said.

He said: April Mortgages’ focus on long-term fixed rates and disciplined underwriting is a strong fit with our customer-first approach.