Workers who have been placed on furlough face being locked out of the property market - despite still earning an income. High street bank TSB said it will no longer accept single mortgage applications if the person's employer is not topping up the remaining 20% of their state subsidised salary.
The lender said it will accept mortgage applications with a joint partner, providing it is within budget, but said it will reduce the furloughed worker's salary to £1 on paper.
This means it will use the working person's salary to calculate how much they lend - in turn, allowing them to borrow less money.
The furloughed worker will also be asked to prove that their boss will continue to hire them as the scheme prepares to close in October.
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