UK mortgage cuts, medical affordability changes and leasehol

UK lenders reduced selected mortgage rates from 11 November, including cuts of up to 40bps by Barclays, as Halifax Intermediaries relaxed affordability assessments for some doctors and dentists. The government has also begun implementing the Leasehold and Freehold Reform Act 2024, bringing leaseholder protections into new phases from April 2027, while Budget tax changes prompted an industry warning about rents and landlord investment.

What changed in mortgage rates and affordability?

The lender also reduced selected green and existing-customer mortgage rates and introduced two new two-year fixed-rate remortgage products. Its 60% LTV Premier two-year tracker rate moved in the opposite direction, rising by 13bps.

Santander, NatWest, Nottingham Building Society, Fleet Mortgages and Molo announced reductions of up to 22bps across selected residential and buy-to-let ranges (Mortgage Strategy). NatWest reduced selected residential and buy-to-let rates by as much as 20bps, although one buy-to-let purchase rate increased by 43bps. Santander, Nottingham Building Society, Fleet and Molo cut selected rates by up to 20bps, 22bps, 20bps and 10bps respectively.

Halifax Intermediaries changed how it assesses some doctors and dentists, allowing Halifax Intermediaries to take their full annual income into account. A Mortgage Solutions weekly round-up, published on 13 November, also highlighted lender pricing changes and the industry warning that tax changes could push up rents and squeeze landlord investment.

Before	After
Previous affordability treatment for some doctors and dentists	Halifax Intermediaries can take full annual income into account
Selected Barclays residential mortgage rates	Reductions of up to 40bps from 11 November
Barclays 60% LTV Premier two-year tracker rate	Increase of 13bps
Rental tax position before the Budget changes	Tax changes accompanied by warnings about higher rents and reduced landlord investment
Earlier leaseholder legal-cost recovery arrangements	From April 2027, freeholders need court or tribunal approval to recover costs from leaseholders disputing charges

What else changed in the UK property market?

RICS said estate agents and valuers had the weakest 12-month sales outlook since July 2023 as higher mortgage rates weighed on demand. Its October net balance for agreed sales fell to -24%, while house-price sentiment weakened to -36%. The lettings market showed a different direction, with tenant demand returning to growth and rental-growth expectations reaching their highest level since early 2024, despite continued falls in landlord instructions.

Metro Bank launched a formal sale process and appointed Morgan Stanley to handle approaches for the entire business. The move followed record annual profits in 2025 and a turnaround built around the bank’s deposits, commercial lending and branch network. No potential buyers had come forward, no sale was guaranteed, and the bank said it would continue operating as normal while maintaining its profit targets.

Mortgage Advice Bureau has rebranded as Mab. Founded in 2000, the company now describes itself as a national, technology-enabled advice business with more than 2,100 advisers. The new identity is live on its website, social media and customer communications, while appointed representative firms will transition over the coming months. Existing customers face no changes, and the stock-market ticker remains the same.

Sidney Wager also left his role as managing director of L&C Mortgages after joining the business in spring last year. Before L&C, he spent nine years at Barclays, most recently as head of intermediary market development.

What changes for leaseholders and freeholders?

The Leasehold and Freehold Reform Act 2024 provides stronger service-charge protections for more than three million leaseholders. From April 2027, freeholders must obtain court or tribunal approval before recovering legal costs from leaseholders challenging service charges. Leaseholders will also receive greater rights to information and legal-cost recovery.

Additional reforms in November 2027 and 2028 are intended to increase transparency through standardised service-charge demands, financial accounts and annual reports.

What are landlords saying about tax changes?

Budget tax increases prompted an industry warning that the changes could lead to higher rents and put pressure on landlord investment. The warning did not mean every landlord would respond in the same way or that rental supply would necessarily fall.

What should property buyers check next?\n

Check the specific Barclays product rather than assuming every residential rate fell: selected reductions reached 40bps, while the 60% LTV Premier two-year tracker increased by 13bps.
For eligible doctors and dentists, check whether Halifax will take full annual income into account under its updated affordability criteria.
For a leasehold purchase, check the April 2027 legal-cost recovery requirement and the transparency changes scheduled for November 2027 and 2028.
Review the Budget tax changes relevant to a rental investment and the industry’s warning about rents and landlord investment.

Property-level risk is a separate consideration, covered in our guide to flood risk in England’s mortgage market.

Vida’s launch of new fixed-rate products on Thursday is the next dated step in the mortgage changes.