View more on these topics

Economist Julius seizes on Treasury over the gaps in mortgage regulation

A Government-backed report written by a leading economist has slammed the

Treasury&#39s decision not to regulate mortgage advice as a failure to protect


The report, issued this week by the Banking Services Consumer Codes Review

Group led by Bank of England economist DeAnne Julius, blasts the proposed

statutory framework for failing to plug regulatory gaps.

Stating that advice “sho-uld have been regulated”, the group is calling for the mortgage code to be str-engthened by November to try and patch over deficienci

es and is pushing for a full review once the FSA rules are finalised.

It also wants to ensure borrowers advised by brokers have the same level

of protection as those going direct to lenders by pushing for

intermediaries to come under the jurisdiction of the Financial Ombudsman

Service at N2 when the FSA gets its full powers.

But although the Mortgage Code Compliance Board welcomes – and proposed –

many of the recommendations, chief executive Luke March is ques- tioning

the proposal that firms should be given compliance ratings.

This would entail the MCCB having to brand firms with good, average and

bad ratings on the basis of its compliance visits but as the regulator has

14,000 brokers to oversee, March is dubious about the practical application

of implementing the recommendation.

Julius, speaking to Money Marketing, says: “The view of the group is that

advice should have been regulated.”

Treasury economic secretary Ruth Kelly says: “We take the Julius report

comments seriously and we will give them close attention.”


Website designs for IFAs

Hallmark International Marketing subsidiary is givingaway free professionally designed websites to IFAs. IFA get the website free but must pay £49.95 a month for web hosting fees,site updates, a mon-thly submission to main search engines, online supportand admin fees. IFAs can set up a site by visiting Ifa-websites and choosing their design.Once an order […]

New Star Asset Management – New Star UK Growth Fund

Tuesday, 10 July 2001.Type: Oeic.Aim: Growth by investing in UK companies.Minimum investment: Lump sum £1,000, monthly £100.Investment split: 100 per cent in UK equities.Isa link: Yes.Pep transfers: YesCharges: Initial 5.25 per cent, annual 1.5 per cent.Commission: Initial 3 per cent, renewal 0.5 per cent.Tel: 0845 6088702 

First National offers commercial loans for Sipps

First National has introduced a commercial mortgage which enablesindividuals to take advantage of the tax benefits of a self-investedpersonal pension by investing in commercial property. Its Sipp commercial mortgage allows policyholders to invest their pensionassets in commercial property and land, with no income tax payable on therent received by the Sipp and no capital gains […]

David Marlow

I say tosh to all those who think execution-only services cannot work.Focused advice or, in compliance speak, limited advice, where a client doesnot receive advice on financial needs and objectives but instead receivesadvice on one specific aspect or area of need, is another of the issueswhich seems to provoke opposing views. Personally, I think there […]


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