The mortgage market will now be overseen by the Prudential Regulation Authority and Financial Conduct Authority with more proactive regulation in stark contrast to the soft-touch regime of the FSA in the run-up to the financial crisis.
So what does it mean?
Although the UK mortgage market worked well for the vast majority of consumers, following the 2007 crisis and the demise of Northern Rock the FSA acknowledged that the regulatory framework needed to be reformed, particularly with regard to risky lending and borrowing. In 2009 the FSA began a radical overhaul of the mortgage market commencing with discussion paper 09/03, issued in October. This was the first of a series of papers entitled the Mortgage Market Review. The discussion paper outlined the FSA’s concerns regarding the UK mortgage market and invited a debate on proposed reforms. The review had at its core two main aims: A mortgage market that is sustainable for all participants and a flexible market that works better for consumers
The jury may still be out on whether or not the MMR will really make things better not worse for consumers, particularly for the every expanding group of mortgage consumers who are self-employed. But if you are wanting to talk through the implications for your mortgage application Enable's IFA’s are here to talk things through.
Issued by: Enable Independent Financial Life Planners
25c North Street, Bishops Stortford, Herts CM23 2LD
Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE
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