Tech firms win prize to help UK’s renters onto the housing ladder

Renters unable to get a mortgage because of their lack of a credit rating will be able to boost their chances through one of three new start-ups backed by the government this week.

CreditLadder, Bud, and RentalStep have each won a share of a £2 million prize fund, as part of the government’s Rent Recognition Challenge. The Dragons’ Den style challenge tasked entrepreneurs to create a simple way for renters to record and share their rent payment data, to help them improve their credit score. The three winners will use their funding to further develop their businesses.

John Glen, Economic Secretary to the Treasury said:

Monthly rent is often the biggest expense that people face. Yet most lenders are unable to take it into account when working up a credit score. Three pioneering start-ups have found a solution, and we’re giving them the investment and support they need to help millions of renters across the country achieve their dream of owning a home.

Launched in December 2017, the Rent Recognition Challenge provided an initial round of grant funding to six budding businesses to help turn their ideas into a workable product. An expert panel of judges then whittled the six down to three, who today receive a final package of government funding.