Outgoing Building Societies Association chairman John Goodfellow, who is also the chief executive of Skipton Building Society, has warned that the regulation of mortgages could be introduced at the detriment of consumers.
In his final speech as the chairman of the association last week, Goodfellow called for vigilance by the Government, regulators and the mortgage industry to ensure this does not happen and said this year's designer disease was “Regulitis, part of the rigor mortis family”.
While stressing that the BSA supported the concept of regulation, Goodfellow cautioned that mortgage regulation would change the nature of the market and may end up costing the consumer more than it protects them.
Goodfellow added that although there remained plenty of issues surrounding regulation, there was also a great deal that the industry should be celebrating.
“We are in the middle of a regulation experiment and we must guard against unplanned consumer detriment,” explained Goodfellow. “The symptoms of regulitis include the body going stiff, the eyes glazing over, an increase in the heartbeat and a feeling of helplessness.”