View more on these topics

HBOS rejects repeat of 1990 housing crash

HBOS chief economist Martin Ellis believes a repeat of the 1990s housing crash is extremely unlikely in the foreseeable future.

Speaking at the HBOS mortgage writers’ dinner last week, Ellis said the ratio of mortgage repayments to incomes is still below its 1990 level at 30 per cent compared with 36 per cent.

He said: “Yes, it has risen over the last couple of years but we are still seeing the mortgage payment to income ratio at below the level we saw in 1990. I think it is important that there is a difference.”

Ellis pointed out that homebuyers have been putting down much bigger deposits compared with previous cycles. He said 82 per cent of borrowers put down a deposit of more than 10 per cent last year while 44 per cent of borrowers in 1990 put down a deposit of less than 10 per cent.

Ellis also dismissed recent concerns over payment shock. He said: “A lot of the figures being bandied around about how big that payment shock is going to be are misleading.”

He said HBOS’s view is that a borrower taking out an average-sized mortgage a couple of years ago will be facing a monthly increase of between £65 and £90 when their current deals expire.


Thinc spree continues with FS3 acquisition

Thinc Group has acquired Southampton-based IFA firm FS3 as it continues its financial planning acquisition spree.FS3 has around £100m of funds under management – £75m of personal wealth management and the rest on behalf of corporate clients.The firm was set up in 2001 by certified and chartered financial planner Mike Godfrey, who will continue at […]

EC poised to give GPP auto-enrolment the go-ahead

The European Commission looks set to agree that employees can be auto-enrolled into group personal pensions when personal accounts are introduced in 2012. Money Marketing understands that the EC has already informally agreed that this can go ahead but that written confirmation is yet to be received by the Department for Work and Pensions. When […]

AWD Moneyextra and wealth management arm to merge under one brand

AWD Chase de Vere is to merge the AWD Moneyextra telephone operations with its wealth management advisory operation. The AWD Moneyextra online business will be run and developed as a separate operation. As part of the restructuring, AWD Moneyextra managing director Mark Fleet will be leaving the business by mutual consent. AWD Group chief executive office […]

HSBC loses data on 370,000 customers

HSBC has lost a disk containing personal details of 370,000 customers after sending it via unregistered mail to Swiss Re. It includes customer names, dates of birth and health information but not addresses or bank account details.

A tough start for 2017 consensus trades

By Kacper Brzezniak Every year, starting around November, investment banks (and fund managers) begin to drip out their outlooks for currencies, rates, economies, you name it, for the following year. The consensus has been largely wrong for the past four or five years; those multiple rate hikes never came, the bond market is still alive […]


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