UK Autumn Budget Delivered, Removing Firm-Level Caps on High Loan-to-Income Mortgages

The UK Autumn Budget is being delivered today, October 28, 2026, by Chancellor John Healey. Alongside potential bank tax increases and the 'Your First Home' scheme, significant reforms to mortgage lending rules are taking effect. These changes, following a joint policy statement from the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) on October 14, 2026, remove the firm-level cap on high loan-to-income (LTI) mortgages. A market-wide aggregate limit of 15% for new residential mortgages at LTI ratios of 4.5 times income or above will remain, monitored quarterly by the PRA.