What is a Key Worker Mortgage
The British government launched its ‘Key Worker Living Programme’ in 2004, with the aim of recruiting and retaining key public sector workers in areas of England where housing costs are high. The provision of Key Worker Mortgages is a major part of this programme.
A Key Worker Mortgage is designed to make otherwise prohibitively expensive homes affordable to those key workers on relatively low incomes. The scheme is targeted at key public service workers in a number of essential sectors including education, health and the emergency services.
Types of Key Worker Mortgage
Three categories of Key Worker Mortgage are currently available:
Homebuy loan - up to £50,000 towards the cost of purchasing a house or flat;
Higher Homebuy loan - up to £100,000 towards the cost of purchasing a house or flat (only available to eligible senior school teachers in London);
Shared Ownership loan – only available for purchasing a part share (minimum 25 percent) in a new house or flat.
Who is Eligible for a Key Worker Mortgage
The applicant must be working in London, East Anglia or South East England, in order to be eligible for a Key Worker Mortgage. In addition, the applicant must be employed in one of the following types of jobs:
teacher in a school or further education college;
local government-employed educational psychologist, social worker or occupational therapist;
police officer or police administrative staff worker;
nurse, paramedic or other NHS medical staff.