CML comments on chancellor meeting
The recent meeting between financial chiefs and chancellor of the exchequer Alistair Darling has been commented on by the Council of Mortgage Lenders (CML).
A raft of measures aimed at helping holders of mortgages for professionals and other home loans were discussed at the meeting, including an unprecedented £50 billion revenue-raising plan.
It was announced this week by Mr Darling that banks and other professional mortgage lenders would be able to swap poorly-performing assets for safe government bonds, which could then be traded on the money markets.
In turn, it is hoped that the funds generated from these trades can shore up lenders' balance sheets and lead to reductions in mortgage repayment rates.
Director general of the CML, Michael Coogan, said: "The Bank's actions should ease funding conditions for mortgage lenders over time to help to ensure the continued availability of a wide range of mortgages for potential borrowers at competitive prices."
He added: "We welcomed the chance today to discuss the steps that the industry is taking to support borrowers in the market, and look forward to continuing to work closely with the government over the coming months to ensure that as few borrowers as possible face the threat of repossession."
A raft of measures aimed at helping holders of mortgages for professionals and other home loans were discussed at the meeting, including an unprecedented £50 billion revenue-raising plan.
It was announced this week by Mr Darling that banks and other professional mortgage lenders would be able to swap poorly-performing assets for safe government bonds, which could then be traded on the money markets.
In turn, it is hoped that the funds generated from these trades can shore up lenders' balance sheets and lead to reductions in mortgage repayment rates.
Director general of the CML, Michael Coogan, said: "The Bank's actions should ease funding conditions for mortgage lenders over time to help to ensure the continued availability of a wide range of mortgages for potential borrowers at competitive prices."
He added: "We welcomed the chance today to discuss the steps that the industry is taking to support borrowers in the market, and look forward to continuing to work closely with the government over the coming months to ensure that as few borrowers as possible face the threat of repossession."
