Uptake of mutual's Helping Hand mortgages rises following increase in borrowing cap
Nationwide has reported a significant rise in first-time buyers making use of its Helping Hand mortgage, after the lender raised its maximum borrowing limit to six times income.
Figures from the building society show that between October 2024 and September 2025, approximately 23,000 individuals secured their first home through the scheme, compared to around 15,000 in the previous year. The increase follows Nationwide’s decision to increase the loan-to-income (LTI) cap from 5.5 to six times income.
Completions of Helping Hand mortgages on new build properties more than doubled during the same period, with a 102% increase. This development comes amid ongoing government efforts to boost housebuilding and follows regulatory changes, including updates to stress rate rules by the Financial Conduct Authority and a relaxation of LTI flow limits by the Prudential Regulation Authority.
Nationwide responded by adjusting its own stress rates in May, extending the scheme to 95% loan-to-value (LTV) new build homes in June, and easing minimum income requirements in July.
“Affordability remains a significant barrier to homeownership,” said Henry Jordan (pictured right), group director of mortgages at Nationwide Building Society. “We introduced Helping Hand to address this, and we’re delighted to see the positive impact it’s made for so many of our members, supporting more than 63,000 into their first home.
“These latest figures for the past 12 months show that our decision to increase borrowing up to six times income has been a gamechanger for thousands of first-time buyers. But we’re not stopping there, and with the support of government and regulatory changes throughout 2025, we’ve been able to progressively increase our support for potential homeowners as we continue to put first-time buyers first.”
Nicholas Mendes, mortgage technical manager at John Charcol, said Nationwide’s figures highlight how positive innovation in the mortgage market can be.
“A 53% jump in first-time buyers using Helping Hand over the past year underlines pent-up demand among aspiring homeowners and the impact of more flexible lending criteria,” Mendes pointed out. “The decision to allow borrowing up to six times income has opened more conversations with would-be buyers who had not imagined they could get on the ladder.
“It is also helping to push marginal cases over the line. That is a vital boost for those struggling to bridge the gap between wages and house prices, particularly in high-cost regions such as London and the South East.
“Nationwide’s proactive response to regulatory changes shows how lenders can adapt safely to changing conditions and continue to support home ownership in a sustainable way.”
Introduced in April 2021, Helping Hand allows eligible first-time buyers to borrow up to six times their income on five- or 10-year fixed rate mortgages, up to 95% LTV. This represents a 33% increase compared to Nationwide’s standard lending at 4.5 times income. Since its launch, the scheme has helped over 63,000 people purchase their first home, with lending totalling around £13 billion. Nationwide claims to have supported more first-time buyers than any other lender in the past year.
Under the scheme, a single applicant earning £30,000 with a 5% deposit could borrow up to £180,000, £45,000 more than without Helping Hand. A couple with a joint income of £50,000 could access up to £300,000, compared to £225,000 without the scheme.
Want to be regularly updated with mortgage news and features? Get exclusive interviews, breaking news, and industry events in your inbox – subscribe to our FREE daily newsletter. You can also follow us on Facebook, X (formerly Twitter), and LinkedIn.
