CML news & views

Issue no. 16 - 26 August 2008

More widespread availability of mortgage rescue schemes could help some borrowers facing payment problems to stay in their homes, by reducing the size of their mortgage. We would like to see both the UK government and devolved administrations in Scotland, Wales and Northern Ireland do more to encourage mortgage rescue. The current issue also looks at recent data on the buy-to-let market, and puts the case for FSA regulation of local authorities that want to take a more active role in mortgage lending.

In this issue

Mortgage rescue: a realistic alternative to possession?
FSA should oversee expansion of local authority lending
Number of buy-to-let loans rises to 1.1 million
CML recruits new associate

Mortgage rescue: a realistic alternative to possession?

With mortgage arrears and possessions edging upwards, the government – and lenders – are anxious to keep as many borrowers as possible in their homes. Mortgage rescue, currently under development in Scotland, Wales and Northern Ireland, could be part of the solution. So, how can lenders, borrowers and the government make greater use of it in future?

FSA should oversee expansion of local authority lending

Some council leaders are campaigning for a more active role in mortgage lending by local authorities. We do not object in principle, but believe that regulation of all mortgage lending by the Financial Services Authority is essential to maintain a level playing field for suppliers, and to uphold consumer confidence.

Number of buy-to-let loans rises to 1.1 million

Our latest data shows buy-to-let lending is proving more resilient than the wider mortgage market. It now accounts for 9% of all mortgages outstanding, and 11% of the value of the mortgage stock.