The app-based bank has agreed terms with BBVA, Toscafund and Infinity Investment Partners to add a further £30m in equity to its balance sheet, which will be used to support its lending and growth plans.

Mark Mullen, CEO at Atom, said: “I’m delighted that the bank’s continued success means that BBVA, Toscafund and Infinity Investment Partners have added to their stake in Atom, and taken new capital investment during 2022 to over £100m.

“Our prudent, secured lending model, backed by retail savings allows us to make the very most of capital to support income growth and boost customer numbers; this will remain our focus."

“Alongside continued evolution in our mortgage and business lending books, the bank is proving that our clear focus on being fast, easy, and value for money is something that will keep benefiting both our customers and shareholders.”

Atom has also changed its serviceability criteria for both variable and fixed-rate commercial mortgage products in order to improve access to finance for SMEs.

The bank has lowered the minimum debt serviceability to 120% for owner-occupied applications and 125% for commercial investment applications.

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The firm clarified that serviceability will continue to be reviewed on a case-by-case basis as part of the application process, meaning the actual threshold will depend on the quality and strength of the business.

Additionally, Atom has enhanced its healthcare offering to support businesses in the dentistry and pharmaceutical sectors.

The lender has upped the maximum LTV against property for loans below £500,000 to 95% LTV, while facilities secured against goodwill value are available up to 100% LTV.

The firm will also now allow any practising or registered dentists and all practising pharmacists registered on the General Pharmaceutical Register to take out a business loan.

Tom Renwick, head of business banking at Atom, commented: “Our serviceability criteria is in place to ensure loans can be repaid during difficult times.

“While we are currently living through a particularly turbulent period, we felt the time was right to make significant changes to the policy to allow us to offer our commercial mortgages to more SMEs around the UK.

“We are constantly looking at how we can best offer straightforward, transparent and competitive products to our business customers.

“We expect that this change will allow more SMEs access to much-needed finance, helping them to plan for the future and continue to thrive post-pandemic."