Lenders set to copy Lloyds

Experts have predicted that mortgage lenders will soon follow Lloyds Banking Group and introduce tighter borrowing requirements. On Tuesday, Lloyds decided to cap mortgages over £500,000 at four times income in order to cool the housing market in London. The bank said the policy would apply across the whole of the UK, but was targeted at the capital. Other lenders have said they are keeping vigilant as regulators fret over the booming housing market. A spokesman for Santander said: “We constantly review affordability and adjust our criteria based on a number of factors - one of which is the macro housing market.” A Barclays spokesman expressed a similar theme.