‘Shocking’ number of ultra-long mortgages due to run past state pension age
Young home buyers are being forced to gamble with their retirement prospects by taking on ultra-long mortgages, according to a former pensions minister.
According to freedom of information (FOI) data supplied by the Bank of England, 42% of new mortgages in the fourth quarter of 2023 – or 91,394 – had terms going beyond the state pension age.
In the same period a year earlier, 38% of new mortgages had a term ending beyond state pension age and in the same period in 2021, 31% of new mortgages went beyond state pension age.
The figures were obtained by Sir Steve Webb, a former Liberal Democrat pensions minister, who is now a partner at LCP (Lane Clark & Peacock).
He said that, based on the
