Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether his Department is taking steps to support (a) first-time buyers and (b) people who have large capital balances on their mortgages.

The pricing and availability of mortgages is a commercial decision for lenders in which the Government does not intervene. However, the Government remains committed to making the aspiration of homeownership a reality for as many households as possible.

We operate a range of schemes that aim to increase the supply of low-deposit mortgages for credit-worthy households, including first-time buyers, increase the availability of new housing, and stimulate economic growth. The Government also helps first-time buyers to save for a deposit through the Lifetime ISA and Help to Buy: ISA.

We recognise this will be a concerning time for existing mortgage borrowers, particularly those who are due to come to the end of their existing deal in the immediate future.

On 26 June, we – alongside industry and the Financial Conduct Authority – published the Mortgage Charter. This Charter sets out the standards lenders will adopt when helping their customers; signatories will provide borrowers with new flexibilities to manage their mortgage payments over a short period.

This is in addition to the measures the Government has already taken aimed at helping people to avoid repossession, including Support for Mortgage Interest (SMI) loans, and protection in the courts through the Pre-Action Protocol.