Autumn budget 2026: What it means for buyers, savers, and your mortgage

On Wednesday 28 October, the Autumn Budget for 2026 was announced. To see how it applies to you, check out the latest below.

First-time buyer ISA

It was announced that the First Time Buyer ISA will replace the Lifetime ISA from 2029. The LISA penalty will also be "dealt with", so that if the home you want costs more than the limit, you'll get back "at least what you put in". Our research found that 37% of first-time buyers with a LISA were looking to buy a cheaper property to avoid the penalty.

First Home scheme

The chancellor also announced the Your First Home Scheme, new to first-time buyers who "don't have the bank of mum and dad behind them".

From spring 2027, the scheme, which has been widely trailed, will be considered an equity loan scheme that has funding of £4.7bn from government-backed lending.

It's expected to be open to first-time buyers who have a deposit of 2.5%, and provide buyers with an equity loan worth 20% of the value of the new build property.

Your First Home scheme: the quick version

What you’ll need: A deposit of at least 2.5%, a 20% government equity loan, and a repayment mortgage for the other 77.5%.

What it costs: The equity loan is interest-free for the first five years. After that, you’ll pay 1.5% in year six and 3% from year seven. These payments are separate from your mortgage and don’t reduce what you owe on the equity loan.

Who's eligible? It’s for first-time buyers buying a new-build home in England to live in as their main home. Your household income needs to be no more than £110,000 outside London, or £140,000 in London. You’ll also need a participating lender to agree to your mortgage, and local property price caps apply.

When can you apply? Not just yet. Pre-registration and guidance are expected by the end of December 2026, applications should open in February 2027, and the first home sales are expected in April 2027.

Where’s the money coming from? The government has set aside £4.7 billion over 5 years, announced in the Budget. It says it will keep funding and demand under review.

Is it the new Help to Buy? Not exactly. It has similarities with the old scheme, but there are some big differences, and it’s too early to say whether it’s a direct replacement.

What about First Homes? Despite the similar name, that’s a different scheme. First Homes gives eligible buyers a discount on a property’s market value.

See more about the First Homes scheme on the gov.uk website.

Mortgage support that makes sense

Need a hand understanding your options? Talk to one of our expert mortgage advisors, who can help you find the right deals to suit your needs.