In a written response to a question posed by Robert Syms, the Conservative MP for Poole, Shapps says the government shares the underlying objective of the MMR but wants to see regulation that supports access to homeownership.
Syms asked Shapps what discussions he has had with the Financial Services Authority on the MMR and whether he has assessed what impact the measures will have on house prices.
Shapps says: “The new government are committed to supporting aspiration to homeownership and shares the underlying objective of the Mortgage Market Review to create a stable, sustainable market for all participants. We must avoid the boom and bust that the property market has experienced in the last decade.
“We want to see a regulatory framework that supports access to homeownership and new housing supply while preventing repossessions.
The government believe the Financial Service’s Authority’s changes must be proportionate and avoid unnecessary prescription on the mortgage industry.”
He says his officials are working closely with the FSA and the Council of Mortgage Lenders on these proposals and will continue to do so.