AMI also says it will put forward its members’ case in response to Cameron’s call for a “day of reckoning”, but cautioned against any move to over-regulate the market.
AMI director general Chris Cummings says: “We welcome the broad sentiments that David Cameron expressed in his conference speech, particularly in regard to his comments on the need for ‘sound money’.
“We have been calling for direct Government intervention in the mortgage market since last summer.
He adds: “The need for action has not lessened since the Government’s proposals in regard to the retail mortgage market as it is the capital markets that need addressing.”
But Cummings says we must not introduce “regulation for regulation’s sake”. He argues that problems have not arisen because of a lack of regulation but rather regulation focused on the wrong areas.
He adds: “The FSA needs to allow good, hard working intermediary firms the freedom to operate instead of continually introducing new requirements.”