20
Mar
'BoE could help consumers'
More cash should be given to lenders by the Bank of England (BoE)
otherwise the mortgage market faces difficulty, the Council of
Mortgage Lenders (CML) has suggested.
New figures released by the organisation claimed that gross lending
dropped from January's level of £25.9 billion to £24
billion last month.
The housing market has slowed down recently, director general at
the organisation Michael Coogan stated, something that will
continue in the next few months without the Bank's
intervention.
He claimed that demand cannot be quenched as there are restrictions
in place after the credit crunch.
"This has led many lenders to reduce their product ranges, increase
their mortgage prices and, in some cases, to reduce their lending
capacity," he commented.
"As credit conditions change markedly from day to day, lenders will
continue to rapidly adapt their products and pricing to
match."
Recently, the CML's Sue Anderson stated that tracker-rate mortgages
have grown in popularity recently.