According to an article on the website www.thisismoney.co.uk, UK banks could offer more large mortgages as Labour urges regulators to relax the rules.

Relaxing the rules could allow homeowners to borrow more relative to their income.  Currently lenders are subject to a rule which means no more than 15% of their mortgage book can be comprised of loans above 4.5 times the borrower's income - but that could change under the plans being discussed. 

If introduced, these measures could help first-time buyers who kick start entire moving chains in the UK. 

Elliot Reader, Senior Vice President at the investment bank Houlihan Lokey’s FinTech Group, said: "Improving accessibility to the housing market through the relaxation of mortgage rules could be a game-changer for first-time buyers, especially as affordability has been a significant, long-standing issue. The proposed changes to affordability and stress-testing rules could open up opportunities for more buyers by allowing them to borrow more, particularly those with smaller deposits.”

He added, however, that changes to the financing rules would not influence the problem of supply.