UK Update: New Lending Options Now Accept Spray Foam—With Controls in Place

May 16, 2025 – Spray Foam Magazine – Recent policy enhancements from the Co-op concerning spray foam, an issue that can leave many homes unmortgageable, has been welcomed by mortgage brokers. The lender said, under the new enhancements, foam spray will be allowed with the controls in place to manage the associated risks. Helix Financial Partners managing director, Adam Stiles, described this announcement as bringing “constructive and pragmatic changes” to help many people affected by spray foam issues.

“Lenders need to constantly evolve to the reality of home ownership and the challenges many face,” he added. Mint Mortgages & Protection director, David Stirling, explained the previous reluctance surrounding spray foam, stating many lenders are wary of its potential to restrict ventilation and contribute to timber decay in a property’s roof.

“For its spray foam update in particular, the Co-op deserves a clap of the hands” 

MICHELLE LAWSON, LAWSON FINANCIAL

“As a result, properties with spray foam insulation are frequently deemed unmortgageable,” he said. Stirling described Co-op’s latest enhancement as “encouraging” as many homeowners install spray foam without understanding the impact it can have on their mortgage options. “Since the insulation is difficult and costly to remove, having a new lending option is a welcome development,” he added. A similar sentiment was shared by Orchard Financial Advisers managing director, Ben Perks, who said: “Too many people have been convinced that spray foam is the way forward, not realising that in some cases it can render their house unmortgageable.

“Therefore, it’s great to see a lender looking at ways to help people that have done this.” Additionally, EHF Mortgages managing director, Justin Moy, said: “Mortgage lenders are not only improving rates but their lending policy is becoming more flexible, and the acceptance of spray foam insulation is a significant change by the Co-op. “Many properties have been made unmortgageable through the use of spray foam in the roof, and this move by the Co-op gives hope to those trying to sell such properties.

“Other lenders offer similar, but not many, and those other lenders that do accept spray foam require a huge premium on standard high street rates.” Finally, Lawson Financial director, Michelle Lawson, said there are “some great policy enhancements” in Co-op’s announcement to help “with the ongoing spray foam saga and those with smaller deposits”. “For its spray foam update in particular, the Co-op deserves a clap of the hands,” she added.

Published by Spray Foam Magazine

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