Santander and Legal & General have announced a new five year agreement to offer lifetime mortgages to Santander customers.

The arrangement aims to help existing Santander customers who are reaching the end of their term and may have a shortfall in repaying the capital owing on their interest only mortgage. 

It will also be available to existing Santander mortgage customers who are thinking about releasing equity from their homes to help fund their retirement.

“Since joining the lifetime mortgage market, Legal & General has shown commitment to developing solutions that enable cost effective ways of borrowing into retirement,” says Miguel Sard, Managing Director Mortgage Division at Santander UK. 

“This new partnership promotes flexibility and choice for existing, interest only customers who are approaching retirement and want to find a mortgage solution that suits both their lifestyle and their financial position.”

Bernie Hickman, Chief Executive Officer, Legal & General Home Finance adds: “This is a really positive move for the retirement lending market that will see more customers realising the benefits of releasing equity to make their retirement better.”

“We are particularly excited about this new partnership, which builds on Legal & General’s long-standing relationship with Santander and we are delighted that they have chosen us as their partner.”