Help to Buy was once a major scheme for first-time buyers, but its status has changed, so it is important to know where it stands now. This guide explains whether Help to Buy is still available: the position in England and Wales, what existing borrowers need to know, and the alternatives.
Help to Buy in England has ended
The Help to Buy equity loan scheme in England has ended. It closed to new applications in October 2022, with the final completions in March 2023, so it is no longer an option for new buyers in England. If you are buying now in England, you will need to look at other schemes, such as the Mortgage Guarantee Scheme or First Homes, as our guide to government schemes explains.
What Help to Buy was
Help to Buy was an equity loan scheme: the government lent you a percentage of the price of a new-build home, on top of your deposit and mortgage, reducing the mortgage you needed. The loan was interest-free for the first five years, after which interest began. It helped many buyers onto the ladder, but the equity loan also had to be repaid, usually on sale or remortgage, with its value tied to the home's value.
Existing Help to Buy borrowers
If you already have a Help to Buy equity loan, your terms continue. The loan is interest-free for the first five years, after which you pay interest, starting at 1.75% and rising each year by a measure of inflation plus 1%, as our guide to remortgaging relates. You repay the loan when you sell or can repay it earlier, often by remortgaging. Many borrowers look to repay the loan to avoid the rising interest.
Repaying or remortgaging a Help to Buy loan
Because the equity loan starts to charge interest after five years and rises over time, many existing borrowers consider repaying it, often by remortgaging to release the funds, or by staircasing to buy out the loan in stages where allowed. The loan's value moves with your home's value, so repaying it can be complex. A broker can help existing Help to Buy borrowers explore the best way to manage or repay their loan.
Help to Buy in Wales
A version of Help to Buy continues in Wales for now, supporting the purchase of new-build homes up to £300,000 through registered builders, available until at least September 2026. So in Wales, Help to Buy may still be an option for eligible buyers of qualifying new-builds. As with all schemes, the rules and end dates can change, so checking the current position in Wales is important if you are buying there.
The alternatives
With Help to Buy gone in England, several alternatives help buyers with small deposits or affordability, including the Mortgage Guarantee Scheme, Deposit Unlock, Shared Ownership, First Homes and the Lifetime ISA, as our guide to Help to Buy alternatives explains. The right alternative depends on your circumstances and where you are buying. So while the specific Help to Buy equity loan has ended in England, other support remains available.
Check the current position
Because schemes change, with Help to Buy having ended in England and the Welsh version time-limited, it is essential to check the current position before relying on any scheme. Confirm what is available where you are buying through official sources or a broker. This guide explains the situation, but scheme availability and rules can shift, so always verify the latest details when you are ready to buy.
Why Help to Buy ended
The Help to Buy equity loan scheme in England ran for several years before closing to new applications in 2022, having served its purpose of supporting buyers and the new-build market during a particular period. Schemes are introduced and withdrawn as policy and conditions change. Knowing that Help to Buy ended as a matter of policy, rather than being paused, makes clear that new buyers in England must look to current schemes instead.
The equity loan in detail
Under Help to Buy, the government lent up to a set percentage of a new-build's price as an equity loan, on top of your deposit and mortgage, so you needed a smaller mortgage. The loan's value rose and fell with your home's value, so you repaid a percentage of the home's value, not a fixed sum. This meant if your home rose in value, you repaid more than you borrowed.
Staircasing out of the loan
Existing Help to Buy borrowers can usually repay the equity loan in stages, sometimes called staircasing, or in full, often by remortgaging to release the funds. Repaying the loan stops the rising interest and gives you full ownership of your equity. Because the loan is tied to your home's value, repaying it can be complex, so advice helps existing borrowers choose the best time and method, as our guide to remortgaging relates.
The Help to Buy ISA
Separately from the equity loan, there was a Help to Buy ISA, a savings account that added a government bonus for first-time buyers, which closed to new applicants some years ago. Existing holders can still save into it for a limited period and claim the bonus, as our guide to the LISA versus the Help to Buy ISA explains. New savers now use the Lifetime ISA, which is the current equivalent.
Planning ahead as a borrower
If you have a Help to Buy equity loan, it is wise to plan ahead for the point when interest begins after five years and rises over time. Reviewing your options, repaying, remortgaging or staircasing, before the costs mount can save money. Keeping track of your loan's terms and your home's value, and seeking advice in good time, helps you manage the loan well rather than being caught out by rising charges.
The alternatives at a glance
For new buyers in England, the main routes now include the Mortgage Guarantee Scheme and Deposit Unlock for small deposits, Shared Ownership for buying a share, First Homes for a discounted new-build, and the Lifetime ISA to boost savings, as our guide to Help to Buy alternatives explains. The right one depends on your deposit, income and where you are buying, so it is worth comparing them against your circumstances.
So while the Help to Buy equity loan is no longer an option for new buyers in England, the path to ownership remains open through a range of other schemes, and existing borrowers can manage their loan well with a clear plan and good advice.
In short
The Help to Buy equity loan scheme in England has ended, closing to new applications in 2022, so it is not available to new buyers there. Existing borrowers keep their terms: interest-free for five years, then rising interest, repaid on sale or remortgage. A version continues in Wales for new-builds up to £300,000 until at least September 2026. In England, alternatives like the Mortgage Guarantee Scheme and First Homes remain.
Where to get help and next steps
Read our guides to government schemes overview, Help to Buy alternatives, and the Mortgage Guarantee Scheme. This is general information, not mortgage or financial advice; scheme rules change, so check current details.