Santander has limited all residential borrowing for self-employed applicants to 60 per loan-to-value.

In a note to brokers, the lender says the move is to help manage current pipeline cases following the latest lockdown and school closures and will come into effect as of tomorrow, Saturday 9 January.

Santander will not lend to self-employed borrowers whose business is not trading due to Covid-19 restrictions.

All full mortgage applications already submitted on Santander’s Introducer Internet by 9pm tonight, Friday 8 January, or where a material change is made to an FMA originally submitted before 9pm tonight, won’t be affected and will continue to be progressed on the lender’s existing self-employed policy.

Santander’s self-employed policy for existing mortgage customers moving home and buy-to-let applications remains unchanged.