Vernon Building Society has launched a three-year variable-rate large-loan mortgage. 

The mutual says the offer, at up to 80% loan to value, comes at an initial rate of 4.99%, which includes a 2.86% discount from its standard variable rate for three years.

The deal is available on a capital and interest and interest only basis, with a minimum loan size of £500,000 and a maximum of £1.8m.

It has a £999 product fee and allows for up to 25% capital repayments a year.

The lender adds that salary multiples of up to 5.5 times income can be considered across its range of residential products.