HSBC signs up for flagship UK home loan scheme

LONDON, Oct 8 (Reuters) - HSBC Holdings, Europe'sbiggest bank, said it will sign up to a flagship UK programme tohelp people buy their own homes that was launched on Tuesday.

The scheme, known as Help to Buy, allows home buyers to putdown a deposit of as little as 5 percent and gives banks greaterprotection against losses. It also allows them to set aside lesscapital than against a normal mortgage.

HSBC said it will offer Help to Buy mortgages with a 5-10percent deposit later this year. They will only be sold in itsbranches, and not through brokers.

State-backed Royal Bank of Scotland and Lloyds have signed up to the scheme, but Barclays andSantander UK said they are still considering it.