View more on these topics

Fears of rapid decline for mortgage market

Home Funding chief executive Tony Ward warns that the mortgage market is going to quickly fall further if the Treasury’s mortgage finance working group does not come up with a solution.

He says net lending this year could be even lower than the £55bn predicted by the Council of Mortgage Lenders, which is already half of last year’s £108bn.

Ward says: “A couple of months ago, I said the market will get bad or really bad. It looks like it is going to accelerate downwards now. When you look at all the statistics, the data is not giving much hope.”

Ward says all eyes are on Sir James Crosby’s Treasury taskforce which is expected to make a statement this month. He says: “Frankly, we are going to have to wait for the taskforce. The special liquidity scheme has really done nothing for the mortgage market but then it was not meant to.

“I do not see any green shoots of recovery and I am looking really hard for them. The world fuel problems are adding to the problem and further destabilising the economy.”

CML head of external and member relations Sue Anderson says it is waiting keenly for the Crosby review.

She says: “There is a growing sense of opinion that more needs to be done. It is well known in the market that the special liquidity scheme has not had an effect on pricing in the UK mortgage market. The evidence is in the daily Libor figures which are not seeing any reaction to it.

“There are other things that can be done. Although the working group does not need to report back until the pre-Budget report, it is widely being floated that a progress report will be given this month.”


Get in the choir

Having had a busy Saturday, I found myself dozing off as the Williams sisters grunted through two sets at Wimbledon. Why is all this noise necessary? But I digress. As I awoke, a new singing competition – Last Choir Standing – was on the go. Choral singing was never usually this engaging for me but some of the choirs were so different that I was completely engaged.

How Pada is exploring the challenges lying ahead

Further to the article on personal accounts last week, we would like to point out that enforcement with the compliance regime is a matter for The Pensions Regulator.


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