New Mortgage Deals: UK Banks Boost Borrowing for High Earners, Contractors & Self-Employed

Major UK lenders are significantly easing mortgage lending, particularly targeting high earners dubbed 'Henrys'—High Earner, Not Rich Yet. This strategic shift, allowing borrowing up to 6.5 times salary for some, is a game-changer. For Day-Rate Contractors, Self-Employed/Limited Company Directors, First-Time Buyers, and those with Complex Financial Situations, it signals unprecedented opportunities to access larger mortgages, addressing previous hurdles despite robust incomes.

Leading banks like NatWest, Nationwide, Santander, Nottingham Building Society, and HSBC are now offering increased income multiples, with some reaching up to 6.5 times salary. This generosity is primarily for single borrowers earning £75,000+ and couples over £100,000, placing them in the top 10% of earners. This means a borrower earning £100,000 could now access £650,000 with HSBC Premier, a substantial increase, opening doors for high-income professionals.

The relaxation of rules by the FCA and PRA last year, coupled with ongoing market competition and easing affordability stress tests due to falling Bank Rates, underpins these changes. This environment is particularly beneficial for Day-Rate Contractors and Self-Employed Directors, whose income structures often required specialist assessment. These developments mean that despite complex financial situations, high-income individuals can now find more mainstream options for securing significant mortgages.