The forthcoming Spring Statement is unlikely to bring major housing policy reforms with stability expected to be the dominant theme for homeowners and brokers alike, according to Mortgage Advice Bureau (MAB).

Ahead of the Chancellor’s update on 3 March, Ben Thompson (main picture, inset), MAB director of home moving strategy, said the market should expect an economic progress report rather than significant tax or housing announcements.

The Spring Statement traditionally provides updated forecasts from the Office for Budget Responsibility and a snapshot of the UK’s economic position, rather than the large-scale tax and spending decisions typically reserved for the Autumn Budget.

But Thompson said that while direct housing measures are unlikely, the broader tone of the Statement could still influence mortgage pricing through its impact on financial markets.

REASSURANCE NEEDED

Individual lenders set their own mortgage rates, influenced by the Bank of England base rate, inflation expectations and swap rates.

While political announcements rarely have an immediate effect on pricing, market confidence remains key.

Thompson said: “In short, the 2026 Spring Statement is unlikely to introduce major housing reforms. Instead, the key theme for homeowners is likely to be stability rather than surprises.”

STEADY RATE ENVIRONMENT

He added that if the Statement reinforces confidence that inflation is easing and public finances are stable, this could help maintain a steady mortgage rate environment.

He said: “Mortgage rates have already adjusted significantly over the past two years, and anticipated base rate movements are typically priced into fixed-rate mortgage deals well in advance. In the current climate, no surprises would actually be a positive outcome for the housing market.”

Referencing market volatility in 2022 following former Prime Minister Liz Truss’s mini-Budget, Thompson said such events are rare but demonstrate how political announcements can occasionally move markets.