The lender has blamed low customer demand for removing its lifetime mortgage range. It says existing lifetime mortgages will continue to operate as normal and Northern Rock will continue to process any submitted cases through to completion.
Northern Rock director of marketing Anth Mooney says: “Our revised mortgage range is in line with our low-risk appetite and competitive framework arrangements.”
Northern Rock has now been added to the growing list of providers and advisers who have been forced out of the sector in recent months. Last week Saffron Building Society revealed it was to cease lending lifetime loans for the rest of 2009, following both Coventry Building Society and Retirement Plus’ decisions to temporarily cease lending.
Multi-tied advisers In Retirement Services went into administration in August and and Newcastle Building Society Equity Release Advisers temporarily ceased doing business last month.