Third of Brits believe ability to secure a mortgage will be hindered by Brexit

Recent research has indicated that over a third of people in Britain believe that their ability to secure a loan or mortgage will be hindered by Brexit.

According to the YouGov survey, 39% of Brits feel that access and management of finances will be negatively affected by Britain’s departure from the European Union, with 56% of 18 – 24-year-old respondents stating that securing a loan or mortgage will be made more difficult.

This also indicates a greater degree of pessimism among the younger generations, given that the proportion falls to 30% for those aged 55 and over.

When it came to the impact on securing a mortgage or loan, 34% of the initial 39% feel that Brexit will make it more difficult.

At the other end of the spectrum, 19% of respondents felt that Brexit would have a positive effect when it came to the management and access of their finances, with just under one in ten (9%) forecasting that the departure would improve their chances of securing a mortgage.

Commenting on the figures was Jake Ranson. The Banking and Financial Institution expert at Equifax Ltd highlighted the uncertainty surrounding the impact of Brexit, particularly where finances were concerned.

“These findings highlight the very real consumer concerns and confusion about the impact of leaving the EU on finances. With conflicting information circulating on the issues of job security and the level of economic fallout, people are feeling very anxious. Exiting the EU is an incredibly complex process and so it’s important that people take steps to manage their finances in anticipation of unpredictable changes ahead.

“New developments in the banking sector next year, particularly Open Banking, will help people navigate the uncertain environment with new tools to manage their finances and better assess the services available to them. The industry must work together to encourage consumers to engage with these initiatives so that the full benefits are properly understood and realised.”

Today's Conveyancer