Lenders must offer complex income deals

Sarah Davidson

June 2, 2015

The study showed 13% of workers are expecting to receive bonuses with the payouts spread across industries and age groups. Those aged 25 – 34 are the most likely to expect bonuses in the next year with 18% banking on extra money.

Kensington said it believed the increased confidence in bonuses – coupled with the continuing shift to people working as freelances and contractors – underlined the need for lenders to look at solutions for people with complex incomes.

Analysis by the Association of Independent Professionals and the Self-Employed shows around 1.88 million people work as freelances or contractors.

However Kensington believes the numbers of people with so-called complex incomes could be even higher – and is targeting the mortgage market gap which is growing.

Steve Griffiths, head of sales and distribution at Kensington, said: “Bonuses are widespread throughout the UK workplace and across industries with 13% expecting them to receive them over the next year.

“Once you add the number of people who receive regular overtime, those who work as contractors and even those who have second jobs it is clear that a significant number of potential mortgage customers have more complex income requirements that may require individual assessment.

“At Kensington, we individually assess every application to ensure we are able to consider those elements of earned income that are not included in someone’s basic wage – and this could make the difference in a customer being able to secure their new home or not.”

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