Atom bank has increased procuration fees for commercial mortgage brokers and enhanced rate discounts for larger loans as it looks to strengthen its proposition in the SME lending market.
The digital bank has launched a limited-time procuration fee offer for new-to-bank commercial mortgage applications submitted before 30 September, increasing the procuration fee paid to brokers to 1.75%.
There is no change to the overall arrangement fee charged to borrowers, which remains at 2.00%, with Atom reducing its retained share of the fee instead.
Alongside the procuration fee enhancement, Atom has revised the discounts available on larger commercial mortgage facilities. Loans between £1 million and £3 million will now benefit from a 0.40% interest rate reduction, while loans between £3 million and £10 million will receive a 0.25% discount.
Previously, a 0.25% discount applied to loans between £1 million and £4 million.
Commercial mortgage rates at Atom are tailored to individual borrower circumstances, with brokers able to obtain indicative pricing through the lender’s Quick Quote tool on its broker portal.
COMMERCIAL LENDING FOCUS
The latest changes follow a series of enhancements to Atom’s commercial lending proposition during 2026.
Earlier this year, the lender introduced rate discounts of 0.25% for borrowers demonstrating strong debt service coverage or interest coverage ratios. It has also reduced its minimum commercial loan size twice, first to £200,000 and subsequently to £100,000, widening access to funding for smaller businesses.
Tom Renwick, head of business lending at Atom bank, says: “Our broker partners are the heartbeat of our commercial mortgage proposition, and we are committed to delivering the strategic value they need to champion their clients and the needs of UK businesses.
“By boosting procuration fees and introducing more competitive rates for larger facilities, we are further strengthening our commercial proposition and providing our broker partners with greater commercial flexibility.
“The broader market continues to neglect businesses seeking smaller loan amounts. We have already seen an excellent response from brokers to these updates, reinforcing our position as we decisively close this funding gap.
“In lowering our minimum loan thresholds, we ensure that all SMEs, regardless of scale, command direct access to the fast, bespoke financing essential for growth.”
Atom said the changes are designed to provide greater support for brokers while improving access to funding for businesses seeking both smaller and larger commercial borrowing facilities.
