2.2 million first-time buyers miss homeownership, BSA reports

Recent analyses reveal that approximately 2.2 million prospective first-time homebuyers in the UK have been unable to enter the property market since the 2008 financial crisis, primarily due to soaring property prices and the end of historically low mortgage rates. The financial burden on new buyers has grown, with mortgage repayments now consuming a higher proportion of income, and younger adults—especially those under 30—are among the most affected. Additionally, a significant number of existing mortgage holders are financially vulnerable; about 2.3 million lack any form of income protection or critical illness cover, leaving them just a paycheck away from potential crisis should they lose their income. Many would resort to cutting spending, borrowing from family, or seeking government aid to keep up with payments, but only a small fraction have actual insurance safeguards in place. Meanwhile, uncertainty about future mortgage rates persists, with a large portion of the public—especially first-time buyers—expecting further increases, reflecting ongoing economic anxiety. These challenges underscore the need for targeted policy interventions to support both those locked out of homeownership and current mortgage holders without adequate financial safety nets.