Fewer than a quarter of mortgage brokers support plans to relax mortgage lending limits, according to a survey from Landbay.
The survey found that only 23% of brokers agreed that Chancellor Rachel Reeves was right to roll back post-financial crash regulations.
Reeves set out her plans at the Mansion House in July, saying she wanted to lift limits on mortgages and simplify rules.
Just 16% of brokers thought the reforms would help first-time buyers (FTBs) and only 7% believed they would boost growth.
30% said the changes would lead to riskier loans.
Nearly half (47%) said Reeves was only “tinkering” with the rules and that “it’s not a big deal”.
Rob Stanton, sales and distribution director at Landbay, said: “The chancellor says she plans to tear up ‘reams of financial red tape’ and be ‘ruthless in slashing rules that make the UK uncompetitive’.
“But brokers aren’t quite so sure that looser mortgage lending rules will deliver that.
“While Rachel Reeves’ ambition is clear, our research shows brokers are cautious.”
Stanton added: “Only a quarter of the brokers we polled support rolling back post-crisis regulations, with nearly half dismissing the changes as mere tinkering.
“At Landbay, we understand the need for growth, but striking the right balance between access to lending and managing risk is critical to avoid repeating past mistakes.
“Our survey shows that brokers are sceptical about the reforms to mortgage lending rules, with just 7% believing they’ll spark meaningful economic growth.”
He said: “This research reveals a clear concern among intermediaries, with 30% warning the reforms will lead to riskier lending.
“At Landbay, we’re committed to supporting a stable and sustainable buy-to-let market, but these changes need careful consideration to ensure they don’t compromise long-term financial stability.
“Rather than relying on the cutting of red tape we’re exploring opportunities to ensure our range is competitive, while harnessing innovation through product transfers to increase routes for landlords set to refinance.”
He added: “Regardless of the regulation vs growth agenda, Landbay is pushing ahead to improve our range, equip brokers, and support borrowers.”
