View more on these topics

Brown to pledge to remutualise Northern Rock

Prime Minister Gordon Brown is to announce plans later today to hand shares in Northern Rock to its customers and return the nationalised bank to mutual status, according to reports.

A report on The Daily Telegraph’s website says that Brown will unveil plans to turn Northern Rock back into a building society as part of Labour’s election manifesto which is being launched in Birmingham later today.

The move is aimed at boosting competition in the mutual sector for mortgages and savings products.

Northern Rock Asset Management, the so-called ’bad bank of Northern Rock, is to be merged Bradford & Bingley to bring the two government-owned institutions under a single holding company and under a single point of control.

Vince Cable, shadow chancellor for the Liberal Democrats, has previously said that there is no reason that Northern Rock cannot be re-mutualised as long as the bank can guarantee that it can repay the government.

Recommended

Legislation paved the way for today’s claims companies

I have just read the article concerning Ratio Money closing (Mortgage Strategy Online). I’ve been in this business for 40 years and since the advent of the Consumer Protection Act in 1987 there has always been someone suggesting to consumers that they need never take any responsibility for their actions or decisions. I regularly get […]

2

Lenders should take a lot of the blame for mortgage fraud

After reading the story about a Glasgow man admitting to running up more than £250,000 in mortgage frauds via self-cert applications (Mortgage Strategy Online), I can only think there must be more to this story than meets the eye. Self-cert mortgages were widely available at the time and obviously this meant that lenders required no […]

GRAPH.gif

Abbey cuts offer time from 19 days to nine

Abbey for Intermediaries has more than halved the time it takes to get a mortgage offer since last August, but acknowledges there is still more work to be done in improving its service levels. Statistics from the lender show that as of March 28 the turnaround time from when an application is submitted to offer […]

Newsletter

News and expert analysis straight to your inbox

Sign up