top of page

Successful West Brom Case Fuels Further Landlord Action

The successful outcome of the West Brom court case has led another group of landlords to start legal action against two more lenders: Skipton Building Society and the Bank of Ireland.

******Whoops! Looks like this is an old post that isn’t relevant any more :/ ******

******Visit the blog home page for the most up to date news. ******

The action first kicked off three years ago, when a group of disgruntled landlords teamed up with Property 118 to take the West Brom to court over its September 2013 decision to raise its buy to let mortgage tracker rate from 1.49% to 3.49%, even though the Bank of England Base rate hadn’t risen at all.

West Brom Loses Appeal Initially the courts sided with the West Brom, saying the lender was within its rights to raise its interest rates, but the group appealed and the case was heard in the Appeal Court last month. This time it was a different story and Appeal Court judges ruled the West Brom had been wrong to put its tracker mortgage rates up.

BoI and Skipton BS in the Firing Line It was a costly decision for the West Brom, as the lender has been forced to repay £27.5 million of overpaid interest. Since then, the spotlight has been thrown on to the Skipton Building Society and the Bank of Ireland. Crowdfunding has attracted more than £60k to help Property 118 pursue the two lenders, both of whom raised their tracker rates when the Bank of England’s base rate stayed static.

However, it might not be so easy second time around, as both lenders reject the claim against them.


Related Posts

See All

Tenant demand has continued to increase

Sourced Properties Weekly List to Your Email inbox The August sentiment survey by Royal Institution of Chartered Surveyors (RICS) gauging the mood of agents, showed improvement in the lettings market.

Property Down Valued

In a recent survey by Bankrate UK, a mortgage comparison service, questioned buyers about their prospective purchases in the last 6 months in the UK. 46% revealed they had their prospective property d

Will Cardiff House Prices Crash?

House prices in the UK are starting to fall after 8 years of stable growth. This is according to recent house price indices. At the moment prices are still fairly stable, but market fluctuations have


bottom of page