View more on these topics

Buy-to-let lending reaches highest level in four years

Gross buy-to-let lending reached its highest level in four years in 2012, according to the Council of Mortgage Lenders.

At £16.4bn, gross buy-to-let lending was 19 per cent higher than the £13.8bn advanced in 2011.

Buy-to-let lending accounted for 11.5 per cent of total gross mortgage lending in 2012, up from 9.8 per cent in 2011.

There were 36,700 loans, worth £4.6bn, advanced in the fourth quarter, up from 34,300 loans worth £4.2bn in the third quarter and 34,200 loans worth £3.9bn in the fourth quarter of 2011. In total, there were 136,900 buy-to-let loans advanced during 2012.

The market has shrunk considerably since peaking at £45bn in 2007 but has almost doubled in size since 2009 when it reached £8.5bn. This grew to £9.7bn in 2010 and £13.8bn in 2011.

CML director general Paul Smee says: “Buy-to-let is benefiting from strong tenant demand, which is likely to continue.”

Mortgages for Business managing director David Whittaker says: “I believe we will see buy-to-let lending increase by 10 to 15 per cent year-on-year, possibly even up to £20bn.”

Separately, the CML last week released statistics showing repossessions in Q4 were at their lowest level since the last quarter of 2007. The number of properties taken into possession fell from 8,200 in the third quarter of 2012 to 7,700 in the fourth, the lowest quarterly figure since Q4 2007 when it was 6,900.


MPs attack Treasury for failing to understand QE risks

MPs have hit out at the Treasury for indemnifying the Bank of England against losses from its £375bn quantitative easing programme, claiming it does not understand the risks involved. The Public Accounts Committee published a report last week into the activities and role of the Treasury, in which committee chair and Labour MP Margaret Hodge […]

EU set to impose tough bankers’ bonus cap

The European Union is on the brink of imposing a tough new cap on bankers’ bonuses against the wishes of the UK. The FT reports that a clear EU majority favours a cap on bonuses so they do not exceed final salaries. The European Parliament has been working on a deal within CRD IV for […]

Andrew Bailey appointed Bank deputy governor and PRA chief

Andrew Bailey has been formally appointed as Bank of England deputy governor and Prudential Regulation Authority chief executive. Bailey is currently the managing director of the FSA’s prudential business unit, with responsibility for banks, investment banks and insurers. Former FSA chief executive Sir Hector Sants was originally expected to head up the PRA under the […]

Cazenove MM team promotes Le Jehan to fund manager

Cazenove Capital has appointed Joe Le Jehan as fund manager of the £179m Cazenove Multi-Manager Global (ex UK) fund and the £127m Cazenove Multi-Manager UK Growth fund. Le Jehan will co-manage the funds as part of the multi-manager team alongside head multi-manager Marcus Brookes and Robin McDonald. Le Jehan has been a member of the […]

Scheme pays explained

By Fiona Hanrahan, senior product insight and technical support analyst We’ve received lots of queries on scheme pays and when it can be used. This article explains how it works and the conditions which apply. What is ‘scheme pays’? If an individual exceeds the annual allowance (AA) and an AA tax charge is due, they […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm