UK bank Barclays is imposing tougher affordability checks on applicants for buy-to-let mortgages, in an effort to show the government and the regulator that the necessary precautions are being taken in the market, which Financial Policy Committee has said that it has concerns over. This comes in advance of the government introducing new measures to cut the amount of tax relief landlords can claim on their mortgage interest payments; the reduction of these benefits will begin in April 2017, with reports suggesting that this will push up landlords' bills substantially.
UK bank Barclays is imposing tougher affordability checks on applicants for buy-to-let mortgages, in an effort to show the government and the regulator that the necessary precautions are being taken in the market, which the Bank of England has said that it has concerns over. This comes in advance of the government introducing new measures to cut the amount of tax relief landlords can claim on their mortgage interest payments; the reduction of these benefits will begin in April 2017, with reports suggesting that this will push up landlords' bills substantially.