Vesta Packaging has been criticised for launching a product range that enables borrowers to apply for a mortgage at seven and a half times their annual income.

The range is available through Vesta Money, the packager’s parent company, as a fixed and tracker rate. The fixed rate products start at 6.3%, while the tracker rate products start at 0.75% above Bank base rate. Vesta said the products were also available at various credit rating levels from light to heavy adverse.

Mark Leaper, managing director of Vesta Packaging, said: “The mortgage has been designed for a specific niche in the market and we expect it to be very popular with brokers.”

But Ray Boulger, senior technical manager at Charcol, questioned the sense of the product. He said: “It is hard to believe any lender would create a product like this. It would be completely unaffordable for most and would be irresponsible for brokers to advise their clients to take out such a mortgage.”

Mike Gutsell, spokesman for Bristol & West, said the income multiple seemed extremely generous. He said: “Bank of Ireland offers an income multiplier of eight or nine times income on its First Start mortgage product, but that includes the income of the borrower’s parents who are acting as guarantors.”

• Mortgage Express has reportedly only received 35 applications for its Max 130 mortgage product offering a loan to value of 130%. Tim Sturley, head of business development at Mortgage Express, declined to comment on the number of applications received but claimed the applications for the product had exceeded expectations.