Lombard Commercial Vessel Finance - Current Rates
| Finance Type | APR Range | Max Term | Max LTV | Min Loan | Typical Use |
|---|---|---|---|---|---|
| Hire Purchase (HP) | 5.5%–9.0% | 10 years | 75% | £50,000 | Ownership at end of term |
| Finance Lease | 5.5%–9.0% | 10 years | 75% | £50,000 | Off-balance-sheet option |
| Refinance / Equity Release | 5.5%–9.0% | 10 years | 75% | £50,000 | Release capital from existing vessel |
Rates correct as at October 2026 and subject to change. Individual rates depend on business profile, vessel type, LTV and term. Business lending - no consumer credit regulations apply.
About Lombard Commercial Vessel Finance
Lombard, the asset finance arm of NatWest Group, is the UK's largest asset finance provider and carries the institutional weight of a major clearing bank behind every transaction. In the commercial vessel market, Lombard excels at financing larger workboats, ferry services, patrol and survey craft, and multi-vessel fleets for established businesses. Their headline rates of 5.5%–9.0% APR represent some of the most competitive in the sector, though best rates are firmly reserved for businesses with strong balance sheets, clean credit and long trading histories. Lombard operates through a national network of relationship managers and supports a wide range of structures: hire purchase, finance lease, operating lease and refinance. Their minimum ticket of £50,000 positions them firmly in the mid-to-upper-market segment. Commercial vessels must be MCA-coded or otherwise in full regulatory compliance; Lombard will generally not finance unregistered or grey-fleet vessels. As NatWest Group's asset finance arm, Lombard also has access to broader banking products that can be combined with vessel finance - useful for businesses wanting to consolidate their commercial relationship. Doulton Bridging Finance presents cases to Lombard regularly and understands their credit appetite in detail.
Commercial Vessel Registration & MCA Requirements
All commercial vessels financed through Lombard must comply with UK maritime regulatory requirements. Key points for borrowers:
- MCA Coding: Commercially operated vessels carrying passengers or crew must hold the appropriate MCA Coding Certificate for their area of operation (Codes 1–6). Lenders will verify this before drawdown.
- Part I Registration: Most lenders prefer Part I registration on the UK Ship Register, which provides clear legal title and supports the lender's security interest. SSR is acceptable for some vessel types.
- SSR Registration: The Small Ships Register is acceptable for fishing vessels and some workboats. Part I is preferred for vessels over 24m.
- Marine Survey: An independent survey from an MCA-recognised surveyor is required for all commercial vessel finance applications. Survey costs are typically borne by the borrower.
UK Seafood Fund & Fishing Vessel Grants
If you are financing a fishing vessel, the UK Seafood Fund (administered by Defra and the devolved authorities) provides grant funding for vessel upgrades, energy efficiency improvements and safety equipment. Grant funding can often be combined with commercial vessel finance - the grant covers capital expenditure while finance covers the vessel purchase. Speak to Doulton Bridging Finance about structuring a combined finance and grant arrangement.
Strengths of Lombard for Commercial Vessel Finance
- UK's largest asset finance provider - deep capacity for large or fleet transactions
- Lowest headline rates in this comparison at 5.5% APR for strong applications
- Full range of structures: HP, finance lease, operating lease, refinance
- National relationship manager network - local relationship capability
- Backed by NatWest Group - strong institutional counterparty for large commitments
Limitations to Consider
- Minimum £50,000 - smaller vessels not catered for
- 75% LTV means a larger deposit than Close Brothers or Rankin
- Credit appetite is relatively conservative - complex cases may be declined
- Can be slower than specialist lenders; large transactions may require credit committee
Compare Lombard Against the Whole Market
| Lender | APR From | Max Term | Max LTV | Min Loan |
|---|---|---|---|---|
| Close Brothers | 5.9% | 10 yrs | 80% | £25,000 |
| Lombard | 5.5% | 10 yrs | 75% | £50,000 |
| Shawbrook | 6.5% | 7 yrs | 70% | £50,000 |
| United Trust Bank | 6.2% | 10 yrs | 75% | £50,000 |
| Aldermore | 6.8% | 7 yrs | 70% | £50,000 |
| Together | 7.5% | 7 yrs | 70% | £50,000 |
| Rankin | 8.2% | 15 yrs | 80% | £10,000 |
| Funding Circle | 7.9% | 5 yrs | 70% | £10,000 |
Highlighted row = Lombard. Source: Doulton Bridging Finance lender panel, October 2026.