Nationwide has unveiled a new range of mortgage products that will become available.

The lender is to scrap its £99 remortgaging administration fee and will remove the reservation fee from its lifetime tracker. Higher lending charges will not apply to any mortgage deals and all interest will be calculated on a daily basis.

Customers who switch from one Nationwide deal to another, or take on additional borrowing, will also receive a £100 reservation fee discount.

"By making these changes we will achieve greater flexibility and will be better placed to offer all our mortgage customers exactly what they want," observed the mortgage lender's executive director Stuart Bernau.

The move, however, represents a u-turn on the company's previous policy of offering the same deals to all. New and remortgaging borrowers will have access to different rates as part of these changes.

Richard Griffiths, associate director of the Association of Mortgage Intermediaries, described the sea change as technically "fair" and "transparent" but bemoaned the marked change of policy.

Defending the latest move by Britain's second-largest mortgage lender, London & Country mortgage specialist James Cotton said: "This is not a departure from Nationwide's stance of offering a level playing field to new and existing customers.

"Rather it is differentiating between rates offered for home buying and remortgaging," he argued