Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps he (a) has taken and (b) plans to take to ensure that mortgage lenders follow official guidance and look favourably on loan applications during the covid-19 outbreak; and if he will make a statement.

This question was answered on 7th September 2020
The Chancellor and I are in regular discussions with mortgage lenders regarding the availability of competitive mortgage products on the market and to encourage lenders to assess applications for these products fairly considering the unprecedented circumstances.

Beyond these discussions, the assessment of mortgage loan applications are commercial decisions and the Government does not seek to intervene. When assessing loan applications, lenders consider several factors such as market conditions, the funding they possess and the applicant’s affordability.