Day: June 13, 2025

Mansfield Building Society has announced a raft of criteria changes to extend support for borrowers seeking lending in or into retirement. The maximum age for capital repayment lending has been extended by 10 years, allowing borrowers to repay their mortgage before age 95. The maximum LTV for later life lending has also been increased from 70% to 75% and can now start from age 75 for non-manual workers rather than age 70 for those in manual roles. The maximum 75% LTV aligns with Mansfield’s maximum for interest only lending, which remains available up to age 85. Commenting on the product changes, Mansfield intermediary sales manager Tom Denman-Molloy said:“More and more borrowers are seeking lending solutions in later life and we always try to respond and adjust our flexible lending to meet their needs. Retirement is as much a process as it is an event, and by extending our age ranges, we can accommodate those who may choose to work longer, including those in non-manual roles. Importantly, our maximum age and LTV criteria updates can be applied across our various mortgage features, including capital raising, debt consolidation and our product ranges for more complex circumstances.” The post Mansfield BS extends support for borrowers in retirement appeared first on Mortgage Strategy.

As some industries rethink their green commitments, tenants are driving the sustainable property agenda forward, Handlesbanken reveals. The research from Handlesbanken shows that 92% of UK property investors believe tenants are willing to pay more for greener homes and commercial premises. In addition, 77% of landlords report tenant interest in heat pumps, solar generation, and other sustainability upgrades, while 57% say tenants are asking for EV charging points and 47% cite demand for higher energy performance certificate (EPC) ratings of C or above. It also found that 54% of property investors plan to expand their portfolios over the next 12 months, while 80% expect their portfolio values to rise, despite market uncertainty. Of those surveyed, 36% say proposed EPC reforms make them more positive about the market, while 56% see no negative impact The report is based on a survey of 200 large portfolio professional landlords and property investors across the UK. Handelsbanken head of sustainability Richard Winder says: “We’ve seen landlords’ thinking mature over recent years in response to clear market signals. Investing in sustainable features offers a rare opportunity to woo good tenants, grow revenues and preserve tomorrow’s financial value, while cutting long-term operating costs.” “As regulations tighten and our worsening climate moves centre stage, the clamour for more sustainable and resilient buildings will only grow.” Handlesbanken UK chief economist James Sproule adds: “Sustainable properties aren’t just good for the planet, they’re good for business. In a market where competition is fierce and tenants have choices, going green is the edge that can make the difference. Those who adapt will thrive; those who don’t risk being left behind.” The Nordic bank says the shift in tenant priorities comes as many large corporations are rethinking their sustainability targets, caught between rising costs and uncertain market conditions. However, the report suggests that for property investors sustainability is seen as a growth opportunity. Sproule comments: “For years, green standards were seen as a regulatory headache. But our research shows that investors increasingly see them as an opportunity to add value. The message is clear, if you’re investing in property, sustainability isn’t optional anymore, it’s essential.” Last week, the energy department said housebuilders will be required to fit solar panels to the “vast majority” of new homes in England in a bid to cut energy bills. The energy department will publish its Future Homes Standard paper in the autumn, but has confirmed that “solar panels will be included, leading to installation on the vast majority of new build homes” The post Tenants are driving sustainable property agenda forward: Handlesbanken appeared first on Mortgage Strategy.

In 2025, the protection market reflects a complex mix of economic caution, regulatory scrutiny and shifting consumer needs. As mortgage advisers navigate these dynamics, it is clear that protection advice is transitioning from being a ‘nice to have’ to constituting a cornerstone of financial resilience, essential for meeting Consumer Duty requirements. Let’s take a look at some of the most pressing talking points. The UK economy has grown modestly so far in 2025 and many households remain financially stretched. The Financial Conduct Authority’s Financial Lives Survey 2024 reveals that: 24% of adults have low financial resilience; 1 in 10 has no savings, and 21% have less than £1,000 set aside; and a fifth of people cancelled or declined to take out insurance in the previous year due to affordability concerns. Protection is often one of the first outgoings to be cut in difficult times, yet it’s needed most during those same periods. Mortgage advisers must continue to position protection as an essential component of homeownership, not an optional extra. Property purchase and remortgage opportunities The mortgage market has seen changes to flexibility in stress testing, and even a return of 100% mortgages for selected clients. While this helps more first-time buyers, it also introduces greater financial fragility. Clients entering homeownership with minimal savings are particularly vulnerable to income shocks, yet many still overlook protection. Advisers have a crucial role in ensuring these risks are identified and mitigated early in the process. As fixed-rate deals end, revisit clients’ protection needs And, with around 1.6 million fixed-rate mortgages due to end in 2025, advisers have a golden opportunity to revisit the protection needs of clients. How has their situation changed since their last review? Have their job status, family size or liabilities changed? A review of current protection products is essential. Regulatory spotlight Nearly two years after the introduction of the Consumer Duty, higher and clearer standards of consumer protection are demanded, with a sharper-than-ever regulatory focus. Many clients are more open to conversations about estate planning and protection It has been a game changer in getting the industry to take stock of how it delivers good outcomes for clients across all aspects of advice; a long-awaited shift in protection, which often doesn’t get the attention it deserves until it’s too late. The FCA’s spotlight on protection is also seen through its ongoing Pure Protection Market Study. The regulator says it will report back on its findings with next steps by the end of 2025. New drivers shift demand Beyond mortgages, wealth and tax changes are shifting the role of protection insurance in estate planning. Two key developments are: The government consultation exploring whether pensions should form part of the taxable estate for inheritance tax (IHT). Proposed reforms to agricultural relief and business relief that could restrict or remove IHT exemptions relied on by business owners and landowners. In response, we’ve seen an increase in adviser demand for protection solutions such as whole-of-life insurance and joint life, second death; and the inclusion of trusts is increasingly being used by wealth advisers to cover expected IHT liabilities. Protection is often one of the first outgoings to be cut in difficult times, yet it’s needed most This trend is filtering into the mortgage and mainstream advice space. Many clients are more open to conversations about estate planning and protection. Advisers who understand these links can provide greater value and maintain longer relationships. To stay relevant and compliant: Embed protection at the start. Introduce income protection, life and critical-illness cover alongside mortgage discussions, not afterwards. Frame protection as essential. Reposition it as a tool to maintain homeownership and protect family wealth. Stay up to date with regulatory direction. Explore intergenerational planning. Focus on your Consumer Duty responsibilities. Document protection conversations thoroughly, demonstrating fair value and good client understanding. It’s an exciting time to be part of the protection industry, with more advisers understanding the need to make a significant impact on client security and peace of mind. Gregor Sked is senior protection development and technical manager at Royal London This article featured in the June 2025 edition of Mortgage Strategy. If you would like to subscribe to the monthly print or digital magazine, please click here. The post Insurance Watch: Help clients to feel secure appeared first on Mortgage Strategy.

The Bank of England is expected to hold rates at 4.25% when the Monetary Policy Committee meets next Thursday. The rate-setting panel cut the base rate by 25 basis points at their last meeting in May, but most economists are predicting there will be a pause before any further reductions. Canada Life Asset Management investment director for liquidity Steve Matthews says: “We expect the Bank of England to hold rates steady this month. Inflation remains persistent, employment data is stable, and GDP prints have been benign – suggesting no immediate need for further cuts. “While the broader trajectory for rates remains downward, the path ahead now looks shallower than previously anticipated. “Market pricing suggests the next move is unlikely before September, and possibly later. “Added to this, uncertainty around US tariffs and trade policy is creating a more cautious global backdrop – no one wants to make a move prematurely. “This is a pause, not a pivot, as the Bank adopts a measured, data-dependent approach in a stable, if lethargic, economic environment.” Oxford Economics economist Edward Allenby says: “Recent data supports the case for further easing and should reduce the MPC’s worries about inflation stickiness. “But we don’t think the data has been weak enough to prompt the committee to up the pace of cuts from the tempo seen since last August.” Allenby believes the MPC will be watching pay and jobs data closely for the next couple of months. They will be looking to see how the labour market has responded to April’s rises in employers’ national insurance contributions and the national living wage. He expects two further 25 bps cuts this year in August and November. Former MPC member Michael Saunders, who is now a senior economic adviser at Oxford Economics is predicting even bigger cuts. He says: “Given their emphasis on gradual easing, it is unlikely the MPC will cut rates at this meeting. “But the path to further easing is becoming clearer. “I expect the MPC to cut Bank Rate 25 bps in August, with easing of about 100 bps over the year ahead — somewhat more than markets price in.” The post MPC Preview: ‘a pause, not a pivot in policy’ appeared first on Mortgage Strategy.

Landbay and Cotality have upgraded their technology interface to speed up the buy-to-let application process for brokers. A new Application Programming Interface (API), means that brokers will be able to submit cases directly via the buy-to-let hub. The lender says the change will improve accuracy, remove the need for manually keying of data and allow for faster stress-testing of portfolios. Landbay chief lending officer Paul Clampin says: “Landbay consistently strives to improve the predictability of the mortgage decisioning process while reducing the burden on our intermediary partners.  “The integration with Cotality will reduce the need to input information manually.  “Instead, information will be submitted directly into Landbay’s system. “This will automate the assessment of portfolio information with the key systems at Cotality.” Cotality chief operating officer Mark Blackwell says: “Integrating all our systems to mortgage lending operating platforms is creating a faster, more secure and seamless data journey for brokers and lenders.” Yesterday, Landbay reduced rates on a number of products. The post Landbay aims to speed up BTL cases with upgrade appeared first on Mortgage Strategy.