house prices high

On trial – Nationwide’s new retirement interest only mortgage   

In response to rising competition from digital banks and the increasingly complex requirements of today’s borrowers, Nationwide are taking steps to innovate later life lending.

Taking advantage of the reintroduction of retirement interest-only (RIO) mortgages by the Financial Conduct Agency earlier this year, Nationwide is testing a retirement interest only mortgage alongside its existing equity release product which launched last year.

The RIO product is available to a small number of existing mortgage members ahead of a full launch later this financial year. To qualify, borrowers must be over the age of 55, receiving retirement income, looking to complete a term extension, change in repayment or a rate switch with a term extension or repayment method change.

According to Henry Jordan, director of mortgages, Nationwide is committed to addressing “the needs of a changing and ageing population in later life and to evolve and initiate products to support people in or approaching retirement.”

Investing in the future

The RIO product trial helping existing mortgage members with their borrowing needs is Nationwide’s first step in innovating later life lending. The Society is also planning to invest £1.3 billion in technology over the next five years, to ensure they are well positioned to make the most of future opportunities.

Joe Garner, chief executive at Nationwide, stated that the plan to transform their technology estate and capabilities will enable them to “develop new propositions, further enhance their service, simplify operations and build new skills for the future”.

Later life mortgage is expected to be the fastest growing segment in the specialist mortgage sector in the next two years. The Marsden Building Society recently extended its Older Borrower Range, the Leeds, Buckinghamshire and Scottish Building Societies have all offered RIO products and with the UK population living longer, more are sure to follow.

Self-certified Sophisticated Investor

Please read

I declare that I am a self-certified sophisticated investor for the purposes of the restriction on promotion of non-mainstream pooled investments. I understand that this means:

I am a self-certified sophisticated investor because at least one of the following applies:

I accept that the investments to which the promotions will relate may expose me to a significant risk of losing all of the money or other property invested. I am aware that it is open to me seek advice from someone who specialises in advising on non-mainstream pooled investments.

High Net Worth Investor

Please read

I make this statement so that I can receive promotional communications which are exempt from the restriction on promotion of non-mainstream pooled investments. The exemption relates to certified high net worth investors and I declare that I qualify as such because at least one of the following applies to me:


Sign up for first access to new developments and exclusive property investment opportunities.

We send limited and targeted emails on new launches and exclusive deals which best fit your areas. We are trusted by over 30,000 active buyers as their source for new stock.

  • New property developments
  • Professional market reports
  • Property deal alerts
  • Development updates
Manchester property investment


Receive trending news straight to your inbox and stay up to date on all of the property market trends and advice.

Established since 2005 we are a leading voice of authority and commentary on the UK property market. Our news is trusted by Apple News & Google News.

  • UK housing market
  • Mortgage & money
  • Buy-to-let landlords
  • Guides & advice

Talk to us

Speak to our UK property experts today:


+44 (0) 333 123 0320

Open from 9am-6pm GMT


+852 6699 9008

Open from 9am-6pm HKT