Research and analysis

Impact Assessment of Support for Mortgage Interest loans

This report summarises the impact and effectiveness of Support for Mortgage Interest (SMI) loans on recipients’ circumstances.

Documents

Impact Assessment of Support for Mortgage Interest Loans

Technical Annex: Impact Assessment of Support for Mortgage Interest Loans

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Details

The SMI policy was introduced to prevent low-income homeowners from losing their homes, through contributions towards their mortgage interest payments. The policy transitioned from a benefit to a loan in 2018, resulting in a reduction in the number of recipients, research was commissioned to better understand take-up following this transition.

In April 2023, changes were made to the policy to widen eligibility criteria and encourage employment among Universal Credit recipients.    

The current research was commissioned to better understand the impact and effectiveness of SMI in achieving its primary objective, to help homeowners stay in their home and protect them from possession. Secondary to this, the research looked at the wider impact of SMI on the recipients’ financial and housing circumstances.  

Contribution to the Evidence Base 

This research addresses key evidence gaps on the impact of SMI on recipients’ circumstances and has given us preliminary insight into the April 2023 policy changes.

The findings of this research report have improved the housing welfare evidence base and provided further insight into homeowners that utilise the Support for Mortgage Interest loan. 

The department also publishes quarterly official statistics on the SMI caseload and average loan amount. Read the latest statistics

Research Value 

The research will be used to review the aims and impacts of the SMI scheme. It will feed into wider discussions on how the Department for Work and Pensions (DWP) can best deliver the policy and ensure homeowners continue to be protected from possession.

Updates to this page

Published 6 May 2025

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