Your First Home scheme announced: what we know so far
Published 27 September 2026
The government announced Your First Home on 26 September 2026: a 2.5% deposit and 20% equity loan for first-time buyers on new builds in England.
What was announced
On 26 September 2026 the government announced Your First Home, a new equity loan scheme for first-time buyers in England. The press release from the Ministry of Housing, Communities and Local Government says the scheme “is expected to support 2.5% deposits, backed by 20% government-backed equity loans, for prospective first-time buyers purchasing a new-build property from a developer signed up to the scheme” (GOV.UK).
The loan will have “an initial interest free period”, there will be “a household income cap with local property price caps”, and developers “will be expected to make a contribution when signing up to the scheme to help cover costs”. Everything else, “including costs and implementation timelines”, will be set out at the Budget (GOV.UK), which HM Treasury has fixed for Wednesday 28 October 2026 (HM Treasury).
What the Prime Minister said
Announcing the scheme ahead of the Labour conference in Liverpool, Andy Burnham said too many young people were “giving up hope of ever having a home to call their own” and that the scheme would help people without support from “the bank of mum and dad” (BBC News). Funding is expected to come from reprioritising existing budgets, with developers paying towards the running costs.
What the critics said
The Conservatives’ shadow housing secretary, Katie Lam, said the policy asks first-time buyers to “take on even more debt” and that a levy on developers “risks pushing up the price of new homes”. The Home Builders Federation welcomed the proposal, saying a well-designed scheme “can make a meaningful difference” (BBC News).
What is confirmed, in one table
| Point | Status |
|---|---|
| Name: Your First Home | Confirmed |
| 2.5% deposit, 20% equity loan | Announced; detail at the Budget |
| New builds only, England only, first-time buyers only | Confirmed |
| Interest-free at first | Confirmed; length not given |
| Income cap and local price caps | Confirmed; levels not given |
| Interest after the free period, repayment rules, launch date, age limit | Not announced |
| Pre-registration | Expected by the end of 2026 (ITV News) |
What we have done
We have built a calculator on the announced figures, written a plain-English guide to the scheme, and labelled every figure that is still an assumption. On Budget day we will update every page within hours. To hear when that happens, use the form at the bottom of the page.
Figures are illustrations, not quotes or advice. A mortgage is a loan secured on your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
Frequently asked questions
When was Your First Home announced?
What happens next?
Sources
- GOV.UK: New first-time buyer scheme to be confirmed at Budget (MHCLG press release, 26 September 2026) (accessed 26 September 2026)
- BBC News: Burnham announces scheme to help first-time buyers on to housing ladder (accessed 26 September 2026)
- ITV News: New 'Your First Home' scheme to help first time buyers get on the ladder (accessed 26 September 2026)
- HM Treasury on GOV.UK: Budget date, Wednesday 28 October 2026 (accessed 27 September 2026)
Related pages
- Your First Home pre-registration: is it open yet?
Your First Home pre-registration is expected by the end of 2026; nothing is open yet. What the government said, how Help to Buy worked, what to prepare.
- Your First Home scheme explained: 2.5% deposit, 20% loan
What the Your First Home scheme is, who can use it, how the 2.5% deposit and 20% government equity loan work, and which rules are announced so far.
- Your First Home eligibility: am I a first-time buyer?
Who qualifies for Your First Home: the first-time buyer definition, what counts as owning before, the income and price caps, and what is still unconfirmed.
- Your First Home scheme calculator with worked examples
The full Your First Home scheme calculator: change every assumption, share a link to your result, and check worked examples at four prices.