The Association of Mortgage Intermediaries has welcomed the extension of the Bank of England’s Special Liquidity Scheme until the end of January, but says it can only be seen as a “stop gap” measure.
Chris Cummings, director general of the AMI, says: “We are pleased that the Bank of England has announced an extension to its liquidity scheme. This should help provide much needed finance to the mortgage market.
“However, there are clearly wider issues causing turbulence and uncertainty in the financial market. The willingness of the Bank to respond to calls from the industry for additional support is to be welcomed, but this can at best be a stop gap measure.”
Cummings says further structural support is needed and the extension of the liquidity scheme should be seen as bridging short term gaps until more wide-ranging measures are introduced.”
Cummings adds: “The Bank of England must announce a wider more ambitious successor to the SLS quickly.”