The UK Financial Conduct Authority (FCA) has published a consultation on proposed amendments to the Prudential Regulation Authority's (PRA) rulebook and FCA guidance on the de minimis threshold for the loan to income flow limit in mortgage lending (CP25/6). The consultation follows the UK Financial Policy Committee's recommendation in November 2024 that the threshold be raised so that the loan to income flow limit would only apply to lenders extending residential mortgages above GBP150 million (up from GBP100 million, the current threshold) per four rolling quarters. The changes proposed amend the relevant references to the GBP100m figure used in the PRA rulebook and the FCA guidance and make some other minor consequential changes. The deadline for comments is 8 May.
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