The Financial Conduct Authority has published a feedback statement and 2026 roadmap setting out priorities to reform mortgage rules to widen access for first-time buyers and other underserved consumers and to help homeowners use housing wealth in later life. It will consult on proposed rule changes across four workstreams from early 2026, aiming to implement the first changes later in 2026. The planned package covers simplifying mortgage requirements to support more flexible products that reflect variable income and working patterns, and reviewing retirement interest-only requirements while exploring improvements to later-life advice. It also includes a focused market study on the lifetime mortgage market, encouragement for brokers to use data and technology including artificial intelligence alongside human advice, simpler advertising and disclosure rules for online information, and work with partners to support consumers affected by financial abuse and those using mortgages to manage or consolidate debt. The FCA pointed to earlier action on stress testing flexibility that it said enabled lenders to offer around GBP 30,000 more to many borrowers, and noted that 99% of mortgages taken out since 2014 are not in arrears. Terms of reference for the later-life lending market study will be published in the first quarter of 2026 as consultations on the wider rule changes begin.

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