Kensington is launching a new lender, Money Partners Limited, which will offer a range of firstand second-charge mortgage products via introducers which do not currently recommend Kensington products.
Kensington finance director Simon Kingdon will be moving to MPL as finance director. He steps down from the Kensington board on October 1.
Kensington will acquire the loans originated by MPL and the profits generated. It will make an initial investment to acquire a minority stake in the business and will provide debt to support the venture's start-up and development .
Former igroup managing director David Johnson will be MPL executive chairman and ex-First National managing director Philip George will be a non-executive director.
Kensington chief executive John Maltby says: “MPL will be an equity partnership bet-ween Kensington and an experienced management team and we expect the initiative to add significant, incremental firstand secondcharge mortgage business to Kensington, broadening access to the high-growth UK non-conforming market and maximising the value from our established expertise in this area.”
Hamptons International broker Jonathan Cornell says: “I would be interested to know why they are launching another lender in the sub-prime market as Kensington has a good name and a good brand.
“I would like to know what the difference is going to be between Kensington and MPL. Normally, when you create another brand or company, it is because you want to try something different.”