Answers · UK 2025/26
Does the Help to Buy Equity Loan scheme still exist?
No. The Help to Buy Equity Loan scheme in England closed to new applications on 31 October 2022. Existing borrowers continue under the original terms. Wales has its own Help to Buy Wales (closed March 2025). Alternatives now include First Homes, Shared Ownership and the Mortgage Guarantee Scheme.
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Help to Buy Equity Loan history. England: closed 31 October 2022 — government loaned up to 20% (40% in London) of new-build value, interest-free for 5 years, requiring 5% deposit + 75% mortgage. Wales: Help to Buy Wales 2 closed 31 March 2025; existing borrowers continue. Existing equity loan borrowers: interest applies from year 6 onwards (1.75% in year 6 + RPI inflation thereafter); must repay the equity loan when you sell, remortgage to another lender, or after 25 years. Repayment is a percentage of current value, not original loan — so a 20% loan on a £200,000 home repaid when home is worth £300,000 means £60,000 owed (20% × £300,000). Many borrowers face higher costs than expected as property prices rose. Current alternatives for FTBs: First Homes (30-50% discount on new-builds for locals); Shared Ownership (buy 25-75%, rent rest); Mortgage Guarantee Scheme (95% LTV); Lifetime ISA (25% bonus up to £450,000).
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.