Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment his Department has made of the potential impact on homeowners of mortgage lenders refusing to lend on office to residential converted properties that were previously considered mortgage eligible; and whether HM Treasury plans to engage with the Financial Conduct Authority and mortgage lenders on this issue.

HM Treasury is regularly in contact with mortgage lenders and the Financial Conduct Authority to discuss lending conditions.

The pricing and availability of mortgages is a commercial decision for mortgage lenders in which the Government does not intervene. Lenders are responsible for setting their own lending criteria, including decisions about the properties on which they are willing to lend. These criteria may consider a range of factors, including property valuations and the risks associated with certain property types, such as former commercial buildings that have been converted for residential use.

The UK benefits from a competitive mortgage market, with a wide variety of products available, and mortgage brokers can help prospective borrowers identify products that are suitable for their individual circumstances, whether from a mainstream or a more specialist lender.

The Government is committed to making the aspiration of home ownership a reality for as many households as possible. At the Budget, the Government announced a range of measures to support more people to purchase their first home, including the Your First Home scheme and the First Time Buyer ISA.