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We need to end this casino culture

Prior to the publication of Lord Turner’s report on lending, rumours were rife that he would cap lending and abolish 100% loans.

It’s good to see he showed some restraint – though who knows what the future will hold.

At the moment we seem to be attempting to resolve our mortgage lending woes with all the strategic ambition and financial acumen of a headless chicken.

But was it not such lack of foresight that got us into this mess in the first place? And have we learned nothing from it?

It’s not the product mix that has been our downfall. It’s always been the way it was administered, with common sense becoming subservient to greed and the pursuit of even more profit.

Any application of an arbitrary lending cap and the abolition of 100% LTV loans just penalises sensible people and denies them the opportunity to enter the property market.

And frankly there’s not much point securing the stable door now that the horse has bolted. We don’t need knee-jerk reactions to get us back on track, just a reversion to old-fashioned values and a modicum of common sense.

And perhaps the most constructive move that could be made would be incorporating sales incentives into basic salaries and doing away forever with the corrupting influences endemic in a bonus culture.

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