If banks aren’t going to make things easier for borrowers it’s essential that the regulator intervenes

If you're over 50 or pregnant, you may not get a warm welcome at your mortgage lender

First-time buyers as well as remortgagers are facing problems (PA)

Are you a mortgage prisoner? Fresh fears have been raised this week that the tougher new lending rules introduced last year have left it impossible for some, such as older borrowers, pregnant women or those with irregular income, to remortgage.

It means when they come to the end of a decent fixed-rate deal, they have no alternative than to go on to a lender’s standard variable rate, which is almost certainly much more expensive.

The problems stem from the tough new borrowing rules that came in last year which mean lenders have to quiz potential borrowers about their spending habits, such as gym membership or how many expensive coffees they buy each day. That’s annoying for borrowers who have to sit through an interview that may last for two to three hours before they may be granted a loan.

But for people remortgaging, you’d assume the story would be different. Not so. A crucial part of the tighter new rules concern future affordability. Lenders have to consider whether borrowers will still be able to afford to meet their monthly mortgage commitment years ahead. And that’s where older people and those planning a family fall foul.

Adrian Anderson, director of the mortgage broker Anderson Harris said: “If banks are not going to make things easier for these mortgage prisoners, then it is essential that the regulator intervenes.” So it was timely that the Financial Conduct Authority is to investigate the mortgage market. Its key concerns are that consumers are confused, and that regulation made it too difficult for challenger lenders.

But it is also looking at lending firms’ conduct and relationships - and that should throw up evidence of lenders not being sensible or fair when it comes to applying the new rules to existing borrowers.

It’s right that we now have stricter mortgages rules but lenders must not be too rigid about them and penalise existing borrowers. We need a simple common-sense approach and the City Watchdog must ensure that this happens.