This week’s top news headlines: Shift surge after FCA rule change and Reiner returns to housing secretary.
Explore these and other key industry updates below:
Significant increase in switching after FCA rule change: Stonebridge
New affordability rules from the Financial Conduct Authority (FCA) are helping more borrowers switch to a new mortgage lender rather than staying with their current provider, with Stonebridge research showing that 98% of revised affordability assessments were used for external remortgages in Q1 2026.
The changes have enabled borrowers to take out larger loans at lower interest rates, with advisers playing a key role in helping clients access better deals.
Barclays, Halifax, HSBC and TSB raise interest rates by up to 20 basis points
Major lenders, including Barclays, Halifax, HSBC, TSB and Skipton, are increasing select mortgage interest rates by up to 20 basis points as higher swap rates continue to push up funding costs.
Industry experts expect more repricing in the coming days, warning that ongoing geopolitical tensions and inflationary pressures reduce the likelihood of interest rate cuts in the near term.
Reiner returns to the role of Housing Minister
Angela Rayner has returned to the role of Housing Minister in Premier Andy Burnham’s new Cabinet, replacing Steve Reid after less than a year in the role.
Her appointment comes as Burnham prioritizes housing, with plans to accelerate housebuilding and deliver the largest council housebuilding program since the post-war period.
NatWest tracks rate hikes by senior lenders
NatWest is increasing residential and buy-to-let mortgage rates by up to 20 basis points from tomorrow, joining a wave of major lenders re-pricing their products this week.
While most lenders are raising interest rates in response to rising finance costs, Shawbrook has bucked the trend with some cuts, although Keystone has also increased select buy-to-let rates.
Santander becomes the latest lender to raise rates
Santander is increasing fixed mortgage rates across its new business and most range product rollouts from July 22, while expanding its product offering with new 10-year fixed deals and additional new build options.
Accord Mortgages is also raising many residential and buy-to-let rates, although some residential products will see cuts, while Newcastle for Intermediaries has relaunched its joint borrower and sole proprietor mortgage range.
Santander’s UK mortgage book reaches £35.7bn after TSB deal
Santander’s UK mortgage book grew by £35.7bn to £204.7bn following its acquisition of TSB, making it the fourth largest mortgage bank in the UK.
The bank reported strong lending growth, with total mortgage lending rising to £14.7bn in the first half of 2026, while mortgage arrears remained low and asset quality remained strong.
FOS appoints new chief executive and ombudsman
The Financial Ombudsman Service (FOS) has appointed Jenny Simmonds to the position of permanent Chief Executive and James Dibble Johnston to the position of permanent Chief Ombudsman following an open recruitment process.
The duo led the organization through a period of reform, including digital improvements, changes to fees and efforts to modernize the UK’s compensation system.
Burnham gives his first speech as Prime Minister, and Reid steps down as Housing Minister
Andy Burnham has become the UK’s new Prime Minister and has pledged to publish a 10-year plan for Britain later this year, including a renewed focus on housebuilding and increasing council home delivery.
The move follows Steve Reid’s resignation as housing secretary, with industry figures calling for clear plans to tackle the housing shortage and meet the government’s target of building 1.5 million homes.
VIDA Lending launches its next chapter
Vida has rebranded its later-in-life mortgage offering as Next Chapter Lending, offering updated standards to support older first-time buyers, home movers and borrowers with mortgages extending into retirement.
The changes provide clearer affordability guidelines for brokers, including how to evaluate income near retirement and the maximum mortgage term ending before age 86.
Finova promises to “no more rekeying” with one-click AI software
Finova is launching an AI-powered tool that will allow brokers to submit mortgage applications via lender portals without manually re-entering customer data.
This technology aims to reduce administration, reduce errors and save advisors’ time by automatically transferring information from the broker’s systems while retaining final user approval.
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