Barclays further enhances mortgage policies, making home ownership more accessible for customers

06 October 2025

Barclays has made several enhancements to its mortgage policies, enabling customers to borrow more when buying a home. The lender has made three key changes covering self-employed, interest-only and BTL customers:

Improvements for self-employed homebuyers

Barclays will now accept 100% of net profits (Profit After Tax/PAT) in its affordability assessments and has also reduced the minimum loan threshold for PAT acceptance, benefitting self-employed homebuyers who will now be able to borrow more and against a wider range of homes.

Increased flexibility for interest-only borrowing

For interest-only mortgage applications where there is at least £500k in equity, Barclays has increased the maximum loan to value (LTV) to 75% (where the repayment vehicle is sale of property).

Higher maximum loans for buy to let (BTL)

For new build properties, Barclays has raised maximum loan size from £500k to £550k at 60-75% LTV. For flats, the lender has increased from £500k to £550k at 70-75% LTV.

These enhancements are the latest in a series of changes Barclays has made to improve affordability for homebuyers. Earlier this year, Barclays announced changes to its affordability calculations that allowed a family to potentially borrow up to £30,750 more (subject to application, financial circumstances and borrowing history). It also increased its maximum loan amounts for high LTV purchases across all of its mortgages, to £640,000 for houses and £310,000 for flats, enabling more buyers to access homes in higher price brackets with just a 10% deposit.

It has also introduced several new propositions supporting home ownership, including Mortgage Boost - which allows family or friends to ‘boost’ the amount that can be borrowed towards a home without having to lend or gift money directly - and a zero deposit mortgage for Right to Buy applicants.