The Government's Green Paper on housing is looking at integrating mortgage
payment protection insurance and the benefits system.
The CML welcomes the paper but says IFAs should not take this as a signal
to sell MPPI to lower-income groups. The CML says some low- income
individuals may have alternative protection provided by the state to
prevent them falling behind on loan repayments, which could make MPPI
unnecessary, and it says independent advisers must work towards tailored
The trade body says the Government's goal of providing greater help for
people on lower incomes to buy a home is to be welcomed, particularly as
there are measures to promote more sustainable homeownership and to
reinforce the safety net for borrowers taking on a loan.
Communications manager Bernard Clarke says: “It is early days to say
whether it is good news for brokers or lenders.”