SignalEU/UK

Bank of England explores easing key limit on riskier mortgage lending

Bank of England exploring easing mortgage risk limits signals potential regulatory shift.

Context

What happened: The Bank of England is exploring easing a key limit on riskier mortgage lending, considering lifting the threshold on higher-risk mortgages. The move responds to calls from government and industry to boost home-ownership. Why it matters: The review follows pressure from government and industry to support home-ownership, signaling the central bank may adjust lending restrictions in response to those calls.

What changed

The Bank of England is exploring easing a key limit on riskier mortgage lending, considering lifting the threshold on higher-risk mortgages. The move responds to calls from government and industry to boost home-ownership.

Why it matters

The review follows pressure from government and industry to support home-ownership, signaling the central bank may adjust lending restrictions in response to those calls.

Sources