Help for Struggling Mortgage Holders: The Mortgage Charter Explained

If you’re worried about your mortgage payments - whether because of rising rates, being made redundant, or another change in circumstances - the Mortgage Charter sets out specific, industry-wide commitments that go beyond standard regulatory requirements - and it’s had renewed relevance in 2026 amid global market volatility. Here’s exactly what it offers and how to use it.

What the Mortgage Charter is

The Mortgage Charter was introduced in June 2023, setting out commitments made by mortgage lenders, over and above standard FCA requirements, to support borrowers worried about their payments. On 26 March 2026, after the Chancellor met the largest lenders over renewed concern about rising rates linked to the conflict in the Middle East, the government republished the Charter and its signatories - covering around 90% of the UK mortgage market - reaffirmed their commitment to it.

The Charter applies to residential mortgages with lenders that have signed up to it - it doesn’t cover buy-to-let mortgages or non-signatory lenders, although FCA rules on supporting borrowers in financial difficulty still apply to all regulated mortgages.

The core commitments

• No forced repossession without consent in less than a year from your first missed payment, barring exceptional circumstances.
• Lock in a new deal up to six months before your fixed rate ends, and the ability to request a better like-for-like deal up until your new term starts, if one becomes available - though lenders need the rate finalised at least two weeks before the new term begins (see our dedicated article on preparing for your fixed rate to end).
• Switch to interest-only payments for six months on a one-off basis, without a full affordability reassessment, for borrowers who are up to date with payments.
• Extend your mortgage term, with the option to revert to your original term within six months if your circumstances improve.
• A range of other tailored support options, including temporary payment deferrals or part interest-part repayment arrangements, depending on individual circumstances.

How many lenders have signed up

As of the FCA’s most recent uptake data (published September 2026), 47 signatories representing around 90% of the mortgage market have committed to the Charter - meaning the large majority of UK mortgage holders are covered, though it’s worth confirming your specific lender is a signatory rather than assuming.

Crucially: contacting your lender doesn’t affect your credit file

A common and understandable fear is that reaching out to discuss financial difficulty will itself damage your credit score. This isn’t the case - the Charter states explicitly that simply having a conversation about your options carries no credit file impact. It’s only missed payments themselves, or formal arrangements that are specifically reported, that can affect your file.

Why acting before you miss a payment matters

The Charter’s protections, and the FCA rules underpinning them, are generally most powerful when engaged proactively - before a payment is actually missed. Waiting until you’re already behind narrows your options and can affect your credit file in ways that contacting your lender early helps avoid.

What Charter options don’t cover

The Charter’s specific commitments are a floor, not a ceiling - lenders can and do offer additional forbearance measures beyond the Charter’s core commitments, tailored to individual circumstances. If the standard Charter options don’t fit your situation, it’s still worth having a detailed conversation with your lender about what else might be available, rather than assuming the Charter’s headline commitments are the only support on offer.

A practical first-contact checklist

• Contact your lender as soon as you’re worried, not after you’ve already missed a payment.
• Ask specifically about Mortgage Charter options if your lender is a signatory, since these are established, low-friction protections rather than something you need to negotiate from scratch.
• Get any agreement in writing, including the expected duration and what happens at the end of any temporary arrangement.
• If you’re not satisfied with your lender’s response, you can escalate to the Financial Ombudsman Service, which welcomed the Charter’s additional flexibility when it launched and takes its commitments into account when handling complaints.

The bottom line

The Mortgage Charter provides genuine, industry-wide protections for worried borrowers, reaffirmed and given renewed relevance amid 2026’s market volatility - but its full value depends on contacting your lender proactively, before missing a payment, rather than waiting until you’re already in difficulty.