Which banks offer contractor mortgages?

Looking for the right mortgage deal as a contractor can feel like searching for a needle in a haystack.

The good news is the landscape is changing, and high street banks are becoming more contractor-friendly.They are starting to recognise the affordability and earning potential of contracting professionals, offering tailored mortgage solutions to suit the needs of the flexible workforce.

While this shift is promising, there's still a level of risk involved in securing a contractor mortgage. Traditional lenders may struggle to assess your income accurately due to the non-standard nature of contracting work.

However, some banks have stepped up their game and are now catering specifically to contractors.

Here are some banks which offer mortgages to contractors:

Lenders such as Halifax, NatWest, and Accord (and more) are offering contractor mortgages, understanding that income stability does exist with contract work, but in a different way to traditional employees.

This guide will help you to understand which lenders can help and how they compare with each other when assessing contract income.

Which banks give mortgages to contractors?

It’s important to know which banks give mortgages to contractors before you commit to an application. In the next section, we will give you a summary of the main lenders who are contractor-friendly.


Accord is the broker-only arm of Yorkshire Building Society, and they are one of the largest mortgage lenders in the UK. An Accord contractor mortgage is possible, and their criteria can be summarised as follows: -

  • Minimum contract rate of £300 per day (or hourly equivalent)
  • Standard policy requires a minimum of 6 months contracting history
  • They may consider brand new contractors (without 6 months history) based on individual circumstances
  • Limited company, sole trader and umbrella company contractors all accepted
  • Gaps between contracts of up to 8 weeks are accepted, and they may accept longer gaps based on the overall risk involved to the lender

Accord’s main strength when compared with other contractor mortgage lenders is their ability to consider longer gaps between contracts. More information can be found here.


Nationwide is the second largest mortgage lender in the UK, and the largest building society. A Nationwide contractor mortgage is possible but only in very limited circumstances. They do not offer a contractor mortgage to self-employed contractors or those using umbrella companies. They will only accept PAYE fixed term contractors whose contracts get renewed for 12 months at a time.

Unfortunately, Nationwide are rarely a good option for most contractors, which is a shame as they usually have excellent rates. More information can be found here about their requirements.


Another household name in the High Street is NatWest, but unlike Nationwide they do offer a workable contractor policy for day rate contractors. A NatWest contractor mortgage can be achieved for both limited company and umbrella company contractors and is summarised below.

  • For umbrella contractors earning less than £75,000 per year, contracts covering the previous 12 months plus the next 3 months are required.
  • For umbrella contractors earning more than £75,000 per year, contracts over 12 months must be evidenced, with 6 months of those having been worked already.
  • For limited company contractors, they must earn over £75,000 and provide contracts covering 12 months with at least 6 months having been worked already.
  • For all contractors, income on the contract rate is calculated over 46 weeks (rather than 52) and there must not be any gaps longer than 6 weeks in a 12-month period.

More information on NatWest contractor mortgages can be found here.


Similar to NatWest, Barclays offer a workable contractor mortgage for self-employed contractors, but unfortunately less so for some umbrella company contract workers. A Barclays contractor mortgage has set criteria for all contractors, too, which we will cover off first.

  • No more than a 6-week gap in 12 months
  • Provision of 12 months’ previous contracts
  • A minimum of 3 months remaining on the current or new contract at time of application

For umbrella contractors, if any ‘bonus’, ‘commission’ or other type of variable pay appears in the latest 3 months’ umbrella payslips, the variable income can only be used if a valid P60 is provided proving the variable pay in the last tax year. This can get complicated, so speak with your Cleerly Mortgage Consultant if you have variable pay! For limited company contractors the situation is only slightly more straightforward.

  • To calculate income the lower of the average contract rate over the last two contracts, or the current contract rate is used over a 46-week year.
  • For hourly rate contractors the maximum number of hours used in a week is 40.
  • Any debts that the business has, such as bounce back loans, must also be included in the affordability calculation as a commitment that will reduce overall borrowing.

Not exactly simple, but Barclays’ rates tend to be market-leading, so worth considering. More information can be found here.


The largest UK mortgage lender is also the one that is usually the quickest to turn a mortgage application into an offer of funding. Part of the Lloyds Banking Group, Halifax were the first lender to develop bespoke underwriting for contract workers back in the noughties. Their lending policy is summarised here.

  • Income for both umbrella and limited company contractors is calculated over 46 weeks
  • For limited companies, the current contract and the latest business bank statement showing the contract income must be provided.
  • For umbrella contractors, you are looking at current contract, and latest payslip from the umbrella company. Any deductions applied by the umbrella company will be deducted from the income before applying the 46-week multiplier.
  • Halifax have a £75,000 per annum income requirement for non-IT contractors.

With Halifax it is that simple, and that is why they are a speedy lender to work with when the timescales are tight. Their rates are usually competitive too. You can find out more about Halifax here.


Skipton has become one of the largest mortgage lenders in the UK over recent years, mainly due to their innovative and flexible lending policy. They are contractor and locum friendly and have a useful way of assessing income for contract workers that is better than that of Halifax.

  • The income is calculated over 48 weeks, making them more generous than Halifax for both limited company and umbrella contractors - with no income deductions applied from umbrella company payslips
  • There must be evidence of 6 months contract history provided, alongside a CV to confirm two years’ experience in the profession
  • The latest personal or business bank statement will verify the contract income being paid
  • The income threshold for the most flexible criteria is £50,000 per year, beating the £75,000 of Halifax, and they will even cater for those earning under £50,000, with no restrictions around profession either.

Skipton have become the lender that offers the most flexibility alongside competitive interest rates. The advantage of using a specialist mortgage broker for contractors (just like us!)

When it comes to securing a mortgage as a contractor, working with a specialist mortgage broker can make all the difference. Cleerly’s mortgage experts have the knowledge and experience to navigate the complexities of the mortgage application process, including the criteria that is specifically tailored for contractors by certain banks.

One of the key benefits of partnering with Cleerly is their in-depth understanding of how contractors are assessed by each lender. Published lending policy does not always work with every lender as there may be other risks that a lender will highlight, such as bank account activity, contract structure, day rate changes, to name but a few. They know that lenders may struggle to comprehend the unique financial circumstances of contractors, such as contract assignments and non-standard payment structures.

By utilising their 15 years of experience of working with contractors and, crucially, the underwriters at the banks that assess contract worker applications, Cleerly can work with you to find the best bank for your contractor mortgage and ensure that your application is presented in the best possible light. They know which lenders are more contractor-friendly and can help match you with the right one for your individual situation. This personalised approach significantly reduces the chances of your application being rejected due to misunderstandings.

In essence, working with a specialist mortgage broker like Cleerly not only streamlines the application process but also increases your chances of successfully securing a mortgage that meets your needs.

Cleerly is proud to partner with the best banks for contractor mortgages

At Cleerly, we take pride in our long-standing partnerships with the top banks that offer contractor-friendly mortgages. With over 15 years of experience in the industry, our leaders have cultivated close relationships with lenders who understand the unique financial situations of contractors like you.

Our team of experts is dedicated to helping you find the right mortgage deal that aligns with your individual circumstances. We know that traditional lenders or mainstream mortgage brokers may not always cater to contractors effectively, which is why our tailored approach sets us apart.

If you're looking for a mortgage solution that fits your specific needs as a contractor, look no further than Cleerly.

Contact us today to start a conversation about how we can assist you in securing the perfect mortgage deal.

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