This week’s top headlines: FCA sets out plan to widen mortgage access and Hodge updates criteria for large loan sizes.
Explore these and other major industry updates below:
Stamp duty must be reformed to help FTBs, MPs say
A cross-party parliamentary committee has called on the government to review and reform stamp duty as part of wider efforts to improve housing affordability for first-time buyers.
The committee recommended a consultation by the end of 2026 to explore alternatives to the tax, alongside council tax reform, while also urging action to bring long-term empty homes back into use.
MPs said reforms to stamp duty, savings products for first-time buyers and housing supply could help more people onto the property ladder, but stressed that increasing the availability of homes remains essential to improving affordability.
CHL Mortgages, HSBC, Foundation and YBS Commercial make rate changes
CHL Mortgages has launched limited-edition buy-to-let products starting from 2.70% and cut rates across its short-term let range by 30 basis points, with pricing now starting from 3.16%.
Meanwhile, HSBC is set to introduce broad mortgage rate reductions, Foundation will withdraw most of its buy-to-let range ahead of new products, and YBS Commercial has cut selected five-year fixed rates by 0.15%, including deals for buy-to-let investors, HMOs, MUFBs and semi-commercial properties.
Hodge updates criteria for large loan sizes
Hodge Bank has enhanced its residential and retirement mortgage ranges by increasing maximum loan sizes at higher loan-to-value levels and relaxing some affordability criteria.
The lender has raised its maximum loan at 95% LTV from £600,000 to £750,000, doubled the 90% LTV limit to £2 million, and increased the 85% LTV cap to £2.5 million.
It will also now accept 100% of bonus income and disregard voluntary pension contributions in affordability assessments, helping more borrowers access larger loans.
New mortgage agreements rose 12% in Q1: BoE
Bank of England data shows new mortgage commitments rose by 12% to £78bn in the first quarter of 2026, signalling stronger future lending activity, although the value of mortgages actually advanced fell by more than 12% to just under £70bn.
Remortgaging continued to grow as borrowers came off fixed-rate deals, while the share of loans for house purchases declined and buy-to-let lending increased slightly.
Industry commentators said the figures suggest confidence was improving before recent market volatility, with lower arrears levels highlighting borrower resilience despite ongoing affordability pressures.
FCA sets out plan to widen mortgage access
The FCA has proposed mortgage rule changes aimed at making it easier for first-time buyers, older borrowers and self-employed applicants to access lending.
The plans would give lenders more flexibility when assessing affordability, allow greater consideration of variable incomes and minor past credit issues, and support wider use of retirement interest-only and interest-only mortgages where appropriate.
The regulator says the changes are designed to reflect modern working patterns and demographics while maintaining strong consumer protections, with consultation responses invited until 28 July 2026.
Higher mortgage rates hurt the housing market: Bellway
Bellway has warned that higher mortgage rates and rising construction costs are weighing on the housing market, with demand from homebuyers weakening in April and May after a stronger start to the spring.
Private reservations fell 6.2% year-on-year, while the company also reported reduced land buying and continued pressure from higher borrowing and material costs.
Despite the slowdown, Bellway has maintained its full-year guidance, but said the outlook remains uncertain amid ongoing economic and geopolitical pressures.
NatWest cuts rates by up to 15bps today
NatWest has cut mortgage rates by up to 15 basis points across residential and buy-to-let products, with the largest reductions focused on landlord deals.
The lender also lowered selected high loan-to-value residential products, including 95% and 90% LTV fixes, as part of a wider round of pricing cuts alongside Halifax and BM Solutions.
Scores of other deals have also been reduced, continuing the broader trend of improving mortgage rates across the market.
Virgin Money and Nationwide trim prices
Virgin Money has cut product transfer and buy-to-let product transfer rates by up to 0.15%, while Nationwide has reduced switcher rates by up to 0.12%, with its lowest new deal now from 4.56%.
The moves add to a broader wave of mortgage price cuts across the market, with HSBC, Foundation and YBS Commercial also adjusting ranges or relaunching products.
Rates across both residential and landlord lending continue to edge down, though remain above recent lows.
LSL appoints Robert Sinclair as non-exec director
LSL Financial Services has appointed former Association of Mortgage Intermediaries chief executive Robert Sinclair as a non-executive director.
He will support the board across its LSL FS businesses, including Primis, TMA and Linear, with a focus on strategy, governance and stakeholder engagement.
The group said his experience in the intermediary and mutual sectors will help support its long-term growth and adviser relationships.
Rents in cheaper locations rising twice as fast as UK average: Zoopla
Zoopla data shows UK rental inflation has eased to 2.1%, but rents in cheaper areas (around £750 a month or less) are rising at 5% annually due to limited supply, while more expensive cities are seeing slower growth or declines.
Overall demand for rented homes has fallen to a six-year low, though London remains an exception with rising demand, and analysts say persistent supply shortages continue to keep upward pressure on rents despite improving wage growth.
