Armed Forces personnel redeployed within the UK will now be able to rent out their homes without facing higher costs or having to change their mortgage.
This commitment from the majority of the UK’s high street banks and building societies is an extension to the offer made back in January 2016, which allowed service personnel posted overseas to rent out their homes at no extra cost.
Previously, members of the Armed Forces who rented out their homes during deployment could have been required to change their residential mortgage to a buy-to-let mortgage, often incurring new charges and an increased rate of interest. Under the new agreement they will no longer have to do this, saving both time and money.
The initiative is supported by 47 of the UK’s largest banks and building societies, including Barclays, HSBC and Nationwide, and the change will benefit almost 265,000 people in the UK and abroad.
British Bankers’ Association CEO Anthony Browne said:
“Members of our Armed Forces work all over the world to look after us, so it’s only right that we look after them. The extra support provided by the main mortgage providers will make sure service personnel and their families are not disadvantaged when they are required to work away from home and want to rent out their house, and make their mortgages fairer”.