Skipton Building Society has taken its mortgage servicer subsidiary HML off the market.
In May last year, Money Marketing revealed the society was looking to sell HML and had issued a prospectus detailing its sales terms. In August, talks broke down between Vertex and Skipton over buying the company.
HML has seen some high-profile account losses in the past year, with GMAC-RFC and Nationwide both bringing administration of their mortgage books in house in December 2010 and January 2011 respectively, although HML signed a new deal with Nationwide to service £1.2bn worth of mortgages originated by Bank of Ireland in December.
HML’s assets under management currently stands at £43bn. It is expected to report a profit of £1.6m for 2011, up from £64,000 the previous year.
A Skipton spokeswoman says: “HML has a bright future as an important part of the diversified Skipton Group and we remain focused on maximising the business’s considerable potential.”
Alexander Hall chief operating officer Andy Pratt says: “This sort of business can be of great value to Skipton as lenders will need to outsource some activities.”