Those new to the property ladder are 'the lifeblood of the housing market,' says Jennifer Lloyd
This article was produced in partnership with Skipton Building Society
While Skipton Building Society’s current product range is shaped by cutting edge, data-led innovation, it aligns with the lender’s original founding principle from 1853. A big player in the first-time buyer (FTB) market, “we were founded to help people buy homes and that’s still what we’re doing today,” said Jennifer Lloyd, Head of Mortgage Products and Propositions at Skipton.
“We’re aiming for half of our lending to be to those taking their first step onto the property ladder — that’s our North Star ambition. All business decisions are in service of that aspiration because ultimately, first-time buyers are the lifeblood of the housing market.”
A holistic FTB strategy
Skipton’s strong first-time buyer proposition is increasingly driven by the conditions for would-be-buyers, which Lloyd calls “increasingly complicated and challenging.” Aware that not everyone has access to support — such as the Bank of Mum and Dad — Skipton sees it as their purpose to offer solutions to those wanting to get on to the property ladder.
The lender has earned a reputation for pioneering accessible products including its headline grabbing Track Record mortgage. This offers first-time home buyers with a recent 12-month track record of paying rent up to 100% LTV, to help them buy their own home (eligibility criteria apply). It was launched specifically for “resentful renters.”
“There are millions of renters in the UK who are stuck, unable to save a deposit and without access to family wealth,” Lloyd explained. “We asked ourselves, what can we do? This product backs up our belief that a home of your own is a universal right.”
Along the same lines but from a criteria perspective, Income Booster provides increased flexibility by allowing applicants to add up to three individual's incomes to a mortgage, without making them a legal owner of the property. This allows first time buyers to borrow more than if they were taking the mortgage out on their own, clearing a path to independent homeownership.
Data to drive better outcomes
Central to Skipton’s FTB lending strategy is the Skipton Group Home Affordability Index.* A research-based tool that offers a clear, data-driven picture of the pressures facing aspiring buyers across the UK, in its most recent iteration, there were a few findings that underscored the importance of Skipton’s efforts to combat the housing crisis. For example, almost 90% of would-be FTBs can’t afford a home in their local area without help from friends or family.
“That’s a pretty stark statistic that reinforces that our efforts are both necessary and urgent,” Lloyd noted, adding that the Index also illuminates the impact of policy shifts.
As of 1 April, changes to the rules by the current government mean the number of areas where FTBs are liable for stamp duty had quadrupled, resulting in a hefty tax bill on top of an already rising cost of living. In fact, the Index found that 40% of potential buyers are spending 45% of their income on essential housing costs — an untenable long-term percentage.
“We campaigned strongly to have the UK Government reconsider, but it’s been put in place,” Lloyd said. “However, we continue to engage with policymakers around other reforms that might help.”
Aside from big-picture insights, the Index is also a practical tool for brokers. Beyond house prices, the Index factors in average local income, cost-of-living data, and essential housing costs to create a holistic view. Leveraging the interactive version, brokers can input local data to view affordability in the area or explore where they might get more for their money.
For example, parts of Wales are actually the least affordable — not because house prices are high, but mainly because wages are lower. Conversely, Manchester City Council area come out as more affordable thanks to stronger earnings and more job opportunities, even though objectively property prices are higher.
The evolution continues
With affordability pressures likely to remain throughout 2025, Skipton is focused on growing its FTB offerings. Always with an eye to responsible lending, the lender takes a pragmatic approach balancing risk and customer benefit. Once a solution is out in the market, Skipton is all ears for broker and client feedback — and unafraid to iterate.
The Track Record mortgage, for example, was originally launched with strict affordability controls. But over time, based on broker input and internal data, the criteria expanded. Instead of requiring that the mortgage payment not exceed the customer’s current rent, “we now allow up to 120% to reflect real-world affordability,” Lloyd said, stressing that Skipton’s underwriting team are empowered to make “common-sense decisions.”
“We’re constantly reviewing, refining, and rebuilding,” she added. “It’s not just about launching a product — it’s about learning and improving.”
A major influence in its willingness to innovate is responsiveness to feedback. The lender hosts Skipton Listens, a quarterly broker forum where ideas, policy critiques, and service suggestions aren’t just gathered, but often actioned. One example is visa applications: that was capped at 75% LTV, but based on discussions, was increased to 90%. Another change was around Income Booster, where the maximum age of someone on the mortgage was raised to a maximum of 80.
BDMs and key account teams are also out speaking with brokers all the time, in less formal ways, and Skipton considers these insights essential to its evolution — and pivotal to delivering on its FTB mission.
“We want to help brokers help their clients,” Lloyd said. “Homeownership is an ambition for so many in the UK, and we’re standing ready to work with brokers and the wider market to make that dream a reality.”
Contact your Skipton BDM or visit the Skipton Group Home Affordability Index tool to see how you can better support your first-time buyer clients.
*Legal Disclaimer
The Skipton Group Home Affordability Index is not a benchmark for the purposes of UK Benchmark Regulation, nor for the purposes of any other legislation or regulation.
The Skipton Group Home Affordability Index is produced for information purposes only and must not be used or relied upon for commercial purposes, including as a reference for:
- determining an amount payable under a financial instrument or a financial contract;
- determining the value of a financial instrument; or
- measuring the performance of an investment fund with the purpose of:
- tracking the return of such index; or
- defining the asset allocation of a portfolio; or
- computing the performance fees.
The Skipton Group Home Affordability Index is prepared from information that Skipton Building Society believes is collated with care. However, people seeking to place reliance on the Skipton Group Home Affordability Index for any purposes whatsoever do so at their own risk and should be aware that the methodology of the Skipton Group Home Affordability Index or the Skipton Group Home Affordability Index itself which incorporates forecasting techniques can be varied or discontinued at any time for any reason whatsoever, including external factors beyond the control of Skipton Building Society . Skipton Building Society makes no representation, warranty or guarantee as to the accuracy or completeness or timeliness of the information used in the preparation of the Skipton Group Home Affordability Index or the Skipton Group Home Affordability Index itself or related content on this website. The content on this website is not intended to amount to advice on which reliance should be placed or an offer to sell or solicit the purchase by you of any products or services that Skipton Building Society or any of its group companies provides. Skipton Building Society excludes its liability to the extent permitted by law for any losses or damage whatsoever from any reliance placed on the information used to prepare the Skipton Group Home Affordability Index or the Skipton Group Home Affordability Index itself or related content on this website.
