JEREZ 2006: US Banks Big swinging dick mentality

The return of US lenders to the buoyant UK mortgage market is down to their big swinging dick mentality as they seek to ensure they play in the same growth markets as their key competitors.

This surprising remark was made by Peter Beaumont, deputy chief executive of Mortgages PLC a wholly owned subsidiary of US investment Bank Merrill Lynch.

The comment came after Mortgages Direct spokesman Peter Gladdy asked whether the glut of new lenders straining to enter the UK market alongside an upturn in debt, bankruptcy and arrears, signalled a return to the heady days of the early 1990s and ultimately a market crash.

In a re-run of that time Gladdy also voiced fears that the current climate would force US lenders to shut up shop and move back across the pond.

But Peter Beaumont dismissed the fear and possibility of US lenders deserting the UK market and told Jerez delegates: The reason all the US lenders are over here is that they have a big swinging dick mentality as in, Im in if you are.

Beaumont also pointed out that todays market was a lot more tougher than years gone by and casted doubt on how well new players would prosper as established lenders, both specialist and mainstream, are unlikely to be happy about them stealing market share.