One of the newest banks in the UK has become the latest to offer products through the Government-backed Help to Buy initiative.

Aldermore now offers the mortgage guarantee on property purchases and re-mortgages. This will make it easier for its customers to take their first steps on to the property ladder. No doubt companies providing kitchen renovations on the Wirral, and elsewhere in the North West, will notice increases in demand.

The bank is offering two-year fixed-rate products at 4.98 per cent for a maximum of 90 per cent loan-to-value, and 5.28 per cent for a maximum 95 per cent LTV. Both have a £999 fee applied.

Other banks, including Santander and Barclays, have also expressed a desire to be involved.

The programme, which offers guarantees backed by the government to individuals looking to buy their first homes, offers deposits as little as five per cent. Virgin Money, HSBC, RBS and Lloyds Banking Group are presently involved in the scheme.

Charles Haresnape, Residential Mortgages Director of Aldermore, said:

“We are committed to lending to home-owners in the UK, especially those with small deposits, to get on the housing ladder and those who are unable to access mortgages from traditional high street lenders, despite being creditworthy.

“We are delighted to be offering re-mortgages under the scheme as well.”

Aldermore, which received backing from private equity firm AnaCap, was established from nothing in May 2010.

In addition to mortgages, it also offers business finance to the UK’s SMEs.