Scottish Widows bank has become the latest mortgage lender to relax its rules on instructing sole practitioners following talks with the Law Society, it has emerged.

The bank follows in the footsteps of other institutions including Britannia Building Society, Mortgage Express and Prudential/Egg.

Many lenders had previously refused to instruct sole practitioners because they thought there was a greater risk of fraud that would not adequately be covered by the Solicitors Compensation Fund.

A spokesman for Scottish Widows said the move brought the bank into line with parent company Lloyds TSB Group's general policy.

Sole practitioners may be used with immediate effect so long as they have first been appointed to the Lloyds TSB Group panel.

Sole Practitioners Group chairman Clive Sutton said he hoped that other lenders would now realise that their policies were 'unnecessary, unreasonable and unfair'.

Paula Rohan