Lloyds Banking Group will put an extra £4bn into lending for first-time buyers (FTBs) after recent mortgage lending reforms.
The group will extend its FTB boost, offered through Lloyds Bank and Halifax.
Since the launch of FTB boost in August 2024, over £4bn of lending has already helped 11,000 FTBs by letting them borrow more than 4.5 times their income.
Additionally, the group has increased the loan-to-income cap to 5.5 times, which means buyers can borrow 22% more.
For example, a household with a £50,000 income and a 10% deposit can now borrow around £275,000 instead of £224,500.
Andrew Asaam, homes director at Lloyds Banking Group, said: “Buying your first home can be challenging, but First Time Buyer Boost helps by making your income go further.
“Recent affordability changes have already started to help would-be homeowners get on the property ladder sooner and lending an extra £4billion means we can help even more customers get the keys to their first home.”
