A number of schemes aimed at first-time buyers are being reformed or reviewed, alongside wider changes to how the home-buying process itself works. Here’s a rundown of where things currently stand.

Lifetime ISA Set for an Overhaul

The government has proposed retiring the Lifetime ISA (LISA) for new savers, with a simplified First Time Buyer ISA put forward as its replacement. For anyone already saving into a LISA, nothing changes immediately, existing accounts can continue to be paid into as normal while the consultation process runs its course. Any new replacement account isn’t expected to arrive before 2028 at the earliest, so this is a change to plan around rather than react to right now. Buyers currently weighing up whether to open a LISA may want to keep an eye on how the consultation develops before deciding.

First Homes Scheme Still Offering Built-In Discounts

The First Homes Scheme remains available to first-time buyers in England, offering new-build homes at a discount of between 30% and 50% below market value. That discount isn’t a one-off benefit, it stays locked into the property for future resales, meaning the home must be sold on at a similarly discounted rate to the next eligible buyer. Household income caps remain unchanged, at £80,000 nationally and £90,000 for buyers in London.

Mortgage Guarantee Scheme Keeps Low-Deposit Lending Alive

For buyers without a large deposit saved, the Mortgage Guarantee Scheme continues to support 95% loan-to-value mortgages, meaning a deposit as low as 5% can still get a buyer onto the ladder. The scheme works by encouraging lenders to offer high-LTV mortgages they might otherwise be more cautious about, which has kept this option available at a time when affordability pressures are pushing many buyers to save larger deposits than they’d like.

Buying Process Reforms Aim to Cut Delays

Separately from the buyer-specific schemes, broader reforms to the home-buying process are being introduced with the aim of speeding things up for everyone, not just first-time buyers. The changes are expected to cut roughly four weeks off typical purchase times, alongside the introduction of upfront sales information packs designed to give buyers key details about a property earlier in the process, reducing the number of late-stage surprises that cause sales to collapse.

What This Means for First-Time Buyers

Taken together, these updates suggest a mixed but generally buyer-friendly direction: existing support like the First Homes Scheme and Mortgage Guarantee Scheme remains in place for now, while the LISA replacement and process reforms point toward a system aiming to be faster and simpler in the years ahead. For anyone currently saving or planning a purchase, the practical takeaway is that current schemes are still usable today, but it’s worth staying alert to how the LISA consultation develops, since it could shape the best savings strategy for buyers a few years out from purchasing.