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GrantUK-wide

Support for Mortgage Interest (SMI)

Department for Work and Pensions

Description

Help with the interest on your mortgage or a home-improvement loan if you're on a qualifying benefit — paid as a loan secured on your home rather than as a benefit, so it's repaid with interest when you sell or transfer ownership. Interest is calculated at a set rate (currently 3.66%) on up to £200,000 of your outstanding loan, or £100,000 if you get Pension Credit; at that rate £200,000 of mortgage produces around £610 a month paid directly to your lender. Waiting periods differ sharply by benefit: Pension Credit claimants can be helped straight away, Universal Credit claimants after 3 months in a row, and income-based ESA claimants after 39 weeks.

Amount

Interest on up to £200,000 of mortgage (£100,000 on Pension Credit) at 3.66% — roughly £610 a month at the full cap — paid as a repayable loan

Deadline

Rolling / no fixed deadline

Eligibility summary

  • Available across the whole UK (England, Scotland, Wales, and Northern Ireland).
  • Open to individuals — not restricted to businesses.
  • Relevant income bands: earning under the Personal Allowance.
Notes
Paid as a loan, not a grant: it is secured against the property and repaid with interest on sale or transfer of ownership (it can often be transferred to a new home instead), and voluntary early repayment is allowed. The £100,000 cap also applies if you started claiming a qualifying benefit other than Pension Credit before January 2009 while under State Pension age. The 3.66% figure is the rate in use at the date of verification — it tracks the Bank of England's average mortgage rate and changes periodically, so re-check before quoting. There is no guarantee of SMI for a mortgage or loan taken out while already claiming.
Requirement
Receiving a qualifying benefit — Universal Credit, Pension Credit, income-based Jobseeker's Allowance, income-related Employment and Support Allowance, or Income Support — and liable for mortgage interest or a qualifying home-improvement loan on the home you live in.

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You can also do this yourself for free via the official source

How to apply

You're normally offered SMI when you claim a qualifying benefit — DWP sends a loan agreement and information pack to sign and return, after which payments usually go straight to your lender.

View official source

Last verified: 22 September 2026. See the footer disclaimer — this is general information, not financial or tax advice.