The UK mortgage landscape continues to evolve, presenting both challenges and opportunities for prospective homebuyers. With the housing market showing varied regional performance, estate agents in Yorkshire report sustained interest from first-time buyers and those looking to remortgage, despite the complex economic environment. Understanding current mortgage trends is crucial for anyone planning to enter the property market or refinance their existing home.  Interest Rate Environment  The mortgage market has adapted to the higher interest rate environment, with lenders developing innovative products to help buyers navigate these challenges. Understanding how interest rates affect monthly payments and overall affordability has become increasingly important for prospective homeowners. The shift in the market has led to significant changes in how buyers approach their mortgage decisions, particularly when choosing between fixed and variable rates.  Longer-term fixed-rate mortgages have gained considerable popularity as buyers seek stability in their monthly payments. The security of knowing exactly what you’ll pay each month for five, seven, or even ten years has become increasingly attractive, despite the typically higher initial rates compared to variable products. However, this security often comes with stricter early repayment charges, requiring careful consideration of future plans before committing to a long-term fix.  First-Time Buyer Solutions  The journey to homeownership remains challenging for first-time buyers, but various initiatives continue to provide support. Government schemes have evolved to meet changing market conditions, offering different paths to property ownership. These solutions range from innovative savings programs to shared ownership opportunities, making homeownership more accessible to those struggling with the traditional deposit requirements.  The deposit landscape has also shifted, with lenders taking a more nuanced approach to different buyer situations. While the traditional expectation of a 10-20% deposit remains common, there are now more options for those with smaller deposits, particularly for professional buyers or those with family support. These alternatives have opened up new possibilities for first-time buyers who might otherwise have struggled to enter the market.  Green Mortgages and Sustainability  Environmental considerations have become increasingly central to mortgage lending, reflecting broader societal shifts toward sustainability. Lenders are actively encouraging energy-efficient home purchases and improvements through preferential rates and additional borrowing options for eco-improvements. This trend reflects both consumer demand and regulatory pressure, making green credentials an increasingly important factor in mortgage decisions.  The impact of energy efficiency on property values and running costs has made green mortgages particularly attractive. Lenders are offering incentives for properties with high EPC ratings and providing additional funds for improvements that reduce energy consumption. This approach benefits both the environment and homeowners’ long-term costs, making it an increasingly important consideration in mortgage selection.  Regional Variations and Digital Innovation  The mortgage market shows significant regional variations, with products and lending criteria often tailored to local market conditions. This regional approach recognizes the diverse nature of the UK property market, with different challenges and opportunities across the country. Lenders have developed specific products for various regions, acknowledging the different property types and price points prevalent in different areas.  Technology continues to transform the mortgage application process, making it more efficient and accessible. Digital platforms now handle everything from initial applications to property valuations, streamlining what was traditionally a paper-heavy process. Open banking has revolutionized affordability assessments, while digital identity verification has simplified the documentation process. These innovations have made the mortgage journey smoother while maintaining necessary security measures.  Specialist Lending and Remortgaging  The mortgage market has become increasingly sophisticated in addressing non-standard situations. Self-employed individuals, contract workers, and those seeking later-life lending now have more options available to them. Lenders have developed more flexible approaches to income assessment and lending criteria, recognizing that traditional employment patterns are changing.  Remortgaging remains a significant part of the market, with homeowners actively seeking to optimize their borrowing costs. The process has become more streamlined, with many lenders offering existing customers competitive product transfer options. Additional borrowing for home improvements or debt consolidation continues to be popular, with lenders offering various solutions to meet these needs.  Affordability and Market Outlook  Lenders continue to take a thorough approach to affordability assessment, considering various aspects of applicants’ financial situations. The assessment process has evolved to consider different types of income and financial commitments more holistically. This comprehensive approach helps ensure sustainable lending while providing opportunities for those with strong financial foundations.  Looking ahead, several factors are likely to influence mortgage trends. Economic conditions and interest rate movements will continue to play a crucial role, while technological advancement and environmental policies may shape future lending criteria. The interaction between housing supply, demand, and regulatory requirements will also influence how the mortgage market develops.  Navigating the Market Successfully  Success in today’s mortgage market requires careful preparation and a thorough understanding of available options. Starting preparation early is crucial, giving time to optimise credit scores, save consistently, and gather necessary documentation. Understanding the full range of costs involved, from arrangement fees to stamp duty, helps avoid surprises and ensures better financial planning.  Professional advice has become increasingly valuable in navigating the complex mortgage landscape. Advisors can help identify the most suitable products, understand the implications of different choices, and manage the application process effectively. Their expertise can be particularly valuable when dealing with non-standard situations or trying to optimize borrowing costs.  The mortgage market in 2025 continues to evolve, adapting to changing economic conditions and buyer needs. Whether you’re a first-time buyer, moving home, or looking to remortgage, success lies in understanding current trends and preparing thoroughly. While the process may seem daunting, the range of options available usually means there are solutions for well-prepared buyers. As the market continues to develop, staying informed and seeking professional guidance when needed will help ensure the best possible outcomes in your property financing journey. 

New findings show changes to the VAT rebate scheme for the heritage sector would better safeguard the country’s fragile historic attractions, widen public access, and provide an economic boost. Historic Houses, the association that represents Britain’s independently owned historic houses, castles, and gardens, urges government to make simple changes to the existing VAT rebate scheme following new research. The research, carried out by Harlow Consulting, found that government is unnecessarily exacerbating an already daunting backlog of urgently needed repairs currently costed at an estimate of £2bn (as reported by Historic Houses members)– threatening the fabric of some of the UK’s best-loved buildings. Ben Cowell, Director General of Historic Houses, said: “The average property surveyed spends around £160,000 on its repairs and maintenance each year, but the investment is diminished in value by around 18% as VAT eats into tight budgets. Given the scale of the preservation task they face, it’s not surprising that owners report that almost all money recouped from the tax (90%) would be ploughed into further much-needed work.” About 80% of Historic Houses properties open to the public are VAT-registered, meaning they can reclaim VAT-able expenditure on buildings that form part of their business operations. This can reduce net VAT payments to somewhere between 2% and 5% for those attractions. However, not all buildings qualify for VAT reclamation, including those that provide free public access, which disqualifies them from the role of ‘business operations’ that the VAT reclaim system is designed for. These sites include not just independent places represented by Historic Houses, but free attractions in the care of charities like the National Trust, such as Castlefield Viaduct in Manchester, and English Heritage, which includes Ironbridge in Shropshire, and Kenwood House in London. The Department for Culture, Media and Sport (DCMS) already recognises that VAT can create disincentives for the maintenance of invaluable heritage, which is why it created a multi-million-pound pot for VAT rebate grants to churches under the Listed Places of Worship Scheme (LPOW).  The LPOW scheme was recently confirmed for 2025/26, to support the restoration of thousands of listed places of worship. Historic Houses estimates that extending eligibility for the existing rebate scheme to listed buildings that open to the public for at least 28 days a year would cost not much more than £6m, and yield as much as £5.5m in additional vital repairs and maintenance. On top of that, additional public access incentivised by this scheme would help direct millions of pounds worth of new economic activity to rural areas, and boost other taxable business activity, potentially netting the Treasury an overall fiscal gain. Ben said: “This targeted support would allow owners to choose the best contractors for the job, increasing the demand for specialist heritage skills, and it would encourage almost certainly encourage beneficial reinvestment of recovered VAT expenditures into additional repair and maintenance works.” James Legard, Associate Director at Harlow Consulting, said: “This report provides new insight into the impact of VAT on repair works for historic buildings. Research of this kind can help inform policies that better support the conservation of the UK’s cultural and historical assets.” Building, Design & Construction Magazine | The Choice of Industry Professionals

Marking a significant step in the government’s growth mission, the Department for Science, Innovation and Technology, together with some of the sector’s leading FTSE 100 and privately owned companies including AstraZeneca, GSK, Airbus and AVEVA, investors, and Britain’s top universities, have welcomed a plan to double the economy of the Oxford-Milton Keynes-Cambridge region by 2035. In a meeting with industry chiefs today, Secretary of State for Science and Innovation Rt Hon Peter Kyle and Minister of State for Science, Research and Innovation Lord Vallance confirmed their steadfast commitment to growth in the UK’s most strategically important region for science and technology, working with the Oxford-Cambridge Supercluster Board to explore their plans. Projections from the Oxford-Cambridge Supercluster Board, which represents many of the largest investors in UK science and technology, and research consultancy Public First estimate that fast-tracking the region’s growth through policy interventions like reforming the planning system would add an estimated £78 billion cumulative GDP to the UK economy by 2035. This is equivalent to funding the national New Hospital Programme, the country’s biggest hospital building programme in a generation, more than three times over. Powered by private capital and infrastructure investment including the delivery of East West Rail and an expanding Luton Airport, the commitment – which follows the Government’s recently announced AI Opportunities Action Plan – puts the UK’s ambition to become a global scientific superpower firmly back on the table, including through the creation of 100,000 high-skilled jobs. It comes as the region’s universities join the call to reverse a so-called “brain drain” away from Britain by nurturing homegrown talent and attracting the best and brightest from across the globe. Also supporting the pledge were some of the 45 members of industry body the Oxford-Cambridge Supercluster Board, which counts among its ranks leading industry players including AstraZeneca, Airbus, AVEVA, Oxa, an international developer of autonomous vehicle software, and Cambridge-headquartered global leader in AI cybersecurity Darktrace, alongside the region’s globally renowned universities and international investors and advisors such as Prologis, ARC, Pioneer, Bidwells, British Land and Mission Street. The Oxford-Milton Keynes-Cambridge corridor represents one of the world’s most influential regions for science and technology, which already contributes over £40bn to the UK economy, with world-leading levels of patents and scientific publications per capita. Currently accounting for seven percent of total UK GDP, the region is responsible for some of the world’s most significant scientific breakthroughs including the structure of DNA, in-vitro fertilisation (IVF), the invention of penicillin and green hydrogen, as well as monoclonal antibodies and ultra-thin solar cells to generate renewable electricity over a wider surface area. Building, Design & Construction Magazine | The Choice of Industry Professionals

LondonMetric Property Plc has announced a series of acquisitions and disposals totalling £124 million, marking a significant reshaping of its portfolio. The company has divested ten non-core properties for £74.2 million (LondonMetric share: £69.4 million) at a net initial yield (NIY) of 6.9% and acquired seven properties for £50.1 million, reflecting a rising NIY of up to 7.2% over five years. Strategic Disposals: Focus on Core Growth The sale of ten non-core properties includes: Since March 2024, LondonMetric has offloaded 65 assets for £307 million (LondonMetric share: £302 million), achieving a 2% premium above book value. Targeted Acquisitions: High-Yield Opportunities LondonMetric’s acquisitions total £50.1 million, reflecting a strong focus on high-quality assets with promising rental growth. Highlights include: Commentary on the Moves Andrew Jones, Chief Executive of LondonMetric, highlighted the company’s strategy:“We have again successfully disposed of non-core assets at prices in line with our valuations and reinvested into higher-quality opportunities in strong conviction sectors, where rental growth prospects are more compelling.” Future-Focused Portfolio Optimisation This reshuffling aligns with LondonMetric’s broader strategy of enhancing portfolio quality, boosting rental income, and focusing on high-demand sectors. By divesting less lucrative assets and reinvesting in prime properties with strong growth potential, LondonMetric is positioning itself for sustained success in a competitive market. Building, Design & Construction Magazine | The Choice of Industry Professionals