The mortgage industry has largely welcomed the Financial Conduct Authority’s (FCA) proposed changes to lending rules – including updates to stress testing – as the consultation period for its Mortgage Rule Review (MRR) concludes.

Recent research shows strong broker support for the FCA’s suggested reforms. The regulator has spent the past three months collecting industry feedback, with the consultation officially closing last Friday.

Jonathan Stinton, head of intermediary relationships at Coventry for Intermediaries, is among those to have shared his thoughts on how the mortgage rule changes will affect both product transfers and remortgaging across the industry.

He said: “It’s good to see the regulator recognising that the pendulum may have swung too far since 2008, and that a more balanced approach is needed.

“These proposals are a shift to recalibrate the industry in a sensible way, and that’s ultimately good news for borrowers. Revisiting the approach to remortgaging could make it far more accessible, and giving borrowers easier access to interest-only and part-and-part options means they can better adapt to life’s ups and downs – whether that’s fluctuating income or planning for later life.

“Of course, regulatory measures are just one piece of the puzzle. There is a risk that loosening affordability rules could fuel house price inflation rather than widen access to homeownership. Until the housing shortage is addressed, changes to affordability and product design will only go so far. If we want to build a more sustainable, accessible market, any reforms must go hand in hand with a meaningful push towards housebuilding.

“Whatever changes come, brokers will remain central to helping clients make sense of their options. Their role in guiding people through product transfers, remortgages and all the complexity in between is essential. By helping borrowers navigate these changes, brokers can make sure people don’t just access products more easily, but they’re choosing options which truly support their long-term goals.”