Families are having their dreams of moving home shattered by banks who are penalising new mums. Money Mail can reveal how banks and building societies are imposing tough rules that limit how much families with recently born children can borrow. Banks fear mothers on maternity leave won’t return to work and so are refusing to take into account their income — even if the woman is the main earner.

With banks asking for bigger deposits for the best deals this is scuppering the chances of many families of moving home or even to move to a cheaper rate. Te situation has become so bad that trade body the British Bankers’ Association (BBA) is meeting major mortgage banks and Government officials to discuss allegations of discrimination against pregnant women and those on maternity leave. One major national mortgage broker, John Charcol, has recently had a dispute with a High Street lender over a mortgage application from a borrower on maternity leave.....Read more here