Exhibit 10.4.2 START-UP LOAN TRANCHE SUPPLEMENT This Start-Up Loan Tranche Supplement is made between Northern Rock plc (the "Issuer Start-Up Loan Provider"), Granite Master Issuer plc ("Master Issuer") and The Bank of New York (the "Issuer Security Trustee") in relation to the provision of a Start-Up Loan Tranche by the Issuer Start-Up Loan Provider to the Master Issuer on the following terms: o Closing Date - 24 January, 2007 o Principal amount - (GBP)99,150,000 o Interest rate - LIBOR for one month sterling deposits plus 0.9 per cent. per annum o Payment Dates - Each Monthly Payment Date or, if such date is not a London Business Day, then the next following London Business Day This Start-Up Loan Tranche Supplement is supplemental to the Start-Up Loan Agreement dated 19 January, 2005, as the same may be amended from time to time, between the parties hereto (the "Start-Up Loan Agreement"). Capitalised terms used and not otherwise defined herein shall have the meanings assigned to them in the Start-Up Loan Agreement. This Start-Up Loan Tranche Supplement is made on 24 January, 2007. as Master Issuer EXECUTED for and on behalf of ) GRANITE MASTER ISSUER PLC ) acting by a director ) /s/ Ian Bowden - ------------------------- Name: Ian Bowden Representing L.D.C. Securitisation Director No. 1 Limited as Issuer Start-Up Loan Provider EXECUTED for and on behalf of ) NORTHERN ROCK PLC ) by ) /s/ David Johnson - ------------------------- Name: David Johnson as Issuer Security Trustee EXECUTED for and on behalf of ) THE BANK OF NEW YORK ) by ) /s/ Helen Kim - ------------------------- Name: Helen Kim Vice President The Bank of New York 2