What is UKAR made up of?

To understand where we are now, we have to go back to the beginning to when the “credit crunch” happened back in 2008…

In February 2008, Northern Rock was nationalised by the government and taken into public ownership. Having been restructured into two separate legal entities in October 2009, Northern Rock plc and  NRAM plc, Northern Rock plc was sold to Virgin Money in 2012. In September 2008, the entire Bradford & Bingley mortgage business (including Mortgage Express) was also taken into public ownership, with the bank’s high street branches and savings accounts being sold to Abbey (now Santander). Both NRAM and B&B are permanently closed to new business, meaning they can no longer offer new mortgage deals or further lending to any customers.

With two large mortgage lenders both under public ownership and both working towards similar goals, it made sense for the government and financial authorities to consider the best way to maximise value for taxpayers by bringing both organisations together.

And that’s why, in October 2010, UKAR was established to create a single organisation focussed on supporting NRAM and Bradford & Bingley customers.

In October 2013 UKAR Corporate Services Limited (UKARcs), a subsidiary of UKAR, became responsible for the administration of the Government’s Help to Buy Mortgage Guarantee Scheme on behalf of HM Treasury and in 2015 UKARcs was also appointed to administer the Government’s Help to Buy ISA.

In November 2015, UKAR announced the sale of a £13bn of mortgages and loans from the legacy book of NRAM plc to the investment firm Cerberus. This complex transaction was the largest asset sale by a European government. Loans not included in the sale transferred to a newly established subsidiary of UKAR – NRAM (No1) Ltd – and as part of the completion process NRAM plc was then sold to Cerberus. On 18 July NRAM (No.1) was renamed as NRAM Limited.

In 2016 we outsourced our mortgage servicing operations to Computershare – the part of the business that provides day-today support for all of our customers.