View more on these topics

Financing taskforce unveiled

The Treasury taskforce that will aim to help reopen the mortgage-backed securities market will play a major role in stabilising the cost of mortgage deals.

This was the message from chancellor Alistair Darling last week as the Treasury unveiled its Mortgage Finance Working Group, to be led by Sir James Crosby, deputy chairman of the Financial Services Authority.

The group, which will comprise nine experts from the mortgage and investment markets, the Bank of England, the Treasury and the FSA, is charged with developing a plan to tac-kle securitisation issues.

Darling says: “The disruption in glo-bal financial markets has raised complex issues about the functioning of mortgage-backed securities. This group will make an important contribution to stabilising the cost and supply of UK mortgages.”

The Council of Mortgage Lenders says it is looking forward to participating in the taskforce but reminds the government that the funding problems lenders are suffering must be tackled immediately.

Michael Coogan, director-general of the CML, says: “The shortage of funding is creating disruption in the mortgage and housing markets now.

“The CML believes there is a need for more immediate action to address funding problems, particularly by the Bank of England.”

This follows reports that the Treasury is considering acquiring mortgage- backed securities and holding them on the BoE’s balance sheet until the market returns.

Stephen Hynes, structured finance director at GMAC-RFC, says this plan could be a step on the road to recovery for the securitisation market.

He says: “We have seen similar act-ion by the European Central Bank over the past few months which has allowed lenders to fund themselves.”


Platform integrates with Enterprise

Platform has completed the first stage of its technology integration with broker services provider Enterprise Group.

MAB welcomes base rate cut

The Bank of England has cut the bank base rate from 5.25% to 5%.Brian Murphy, head of lending at Mortgage Advice Bureau, says: “The decision to reduce the base rate by a quarter point in April will not have been an easy one for the MPC to make. However, it is a necessary response to […]

Brokers could benefit from squeeze

Soon there will be few lenders looking for new business but brokers have a vital role to play by finding the best mortgages still available to borrowers, says Sue Read


Opal Home Loans teams up with Commercial 1

Opal Home Loans, the Essex-based mortgage packager, has appointed Commercial 1 in a move that makes the specialist Bromley-based brokerage its preferred partner for all secured loans, bridging and commercial finance. Opal, a member of the Exclusive Connections panel,offers a wide range of near-prime, sub-prime, self-certification and buy-to-let plans. The partnership with Commercial 1 means […]

The investment clock

While Trump blazes blond in the political foreground, it’s easy to overlook the economic background to the new political dimension of 2017. Political risk will be a feature of the year: the unpredictable and untested Trump administration has already created uncertainty, which is unlikely to diminish, especially if protectionist rhetoric starts to outweigh promises of […]


News and expert analysis straight to your inbox

Sign up