MBE 2011: No interest rate increase until 2013
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Interest rates will not increase until at least 2013, some of the top UK mortgage lenders have predicted.
Speaking at the Mortgage Business Expo in London today, representatives from Northern Rock, Barclays, GE Money Home Lending, Nationwide and Platform all predicted that interest rates will not increase until 2013.
However, David Finlay, managing director of mortgages at Barclays, says his personal view, and not that of Barclays, is that rates will not increase until at least 2014.
Speaking at a panel debate on the current issues in the lending market, the lenders were also unanimous on predicting that gross lending will remain flat at £130bn in 2012.
But Mark Snape, sales director at GE Money Home Lending, estimates that gross lending will increase to £140-£150bn in 2013.
Finlay also estimated that gross lending will increase to £140bn in 2013, as did Paul Howard, outgoing head of corporate accounts at Nationwide.
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