Menu
25/06/2002
Interest rate rise needed say mortgage lenders
The Council of Mortgage Lenders (CML) have said the continued rises in mortgage lending reinforced their view that a modest rise in interest rates sooner rather than later was desirable to avoid the possibility of sharper increases in the future.
It is the first time mortgage lenders have called for a rise in UK interest rates in their history.
Mortgage lending reached a new peak for the third month in a row in May when gross advances totalled £19.5 billion - an increase of 19% over April's revised total of £16.4 billion.
CML said the combination of higher interest rates this summer and affordability constraints would help ensure that there was a soft landing for the housing market and place it on a sounder footing for the long term.
The Director General of the CML, Michael Coogan, said: "Record figures for the third month in a row suggest that lending could now be on course to top £200 billion in 2002. The strong growth in loans for house purchase reflects the strength of demand in the housing market, which is driving prices upwards.
"With rates at historically low levels, a modest rise in interest rates this summer would help ensure that the housing market is sustainable in the future without causing payment difficulties for the overwhelming majority of borrowers.
"We are due to meet ministers later today to discuss ways of making home-ownership more secure for all borrowers. A stable housing market helps to deliver that. There are also steps that borrowers themselves can take, like reducing their risk of exposure to an unexpected loss of income by taking out insurance to cover their mortgage payments."
Although remortgaging remained buoyant, the housing market provided the main stimulus with loans for house purchase increasing to £12 billion (from £9.2 billion in April), the highest monthly figure since records began. (MB)
It is the first time mortgage lenders have called for a rise in UK interest rates in their history.
Mortgage lending reached a new peak for the third month in a row in May when gross advances totalled £19.5 billion - an increase of 19% over April's revised total of £16.4 billion.
CML said the combination of higher interest rates this summer and affordability constraints would help ensure that there was a soft landing for the housing market and place it on a sounder footing for the long term.
The Director General of the CML, Michael Coogan, said: "Record figures for the third month in a row suggest that lending could now be on course to top £200 billion in 2002. The strong growth in loans for house purchase reflects the strength of demand in the housing market, which is driving prices upwards.
"With rates at historically low levels, a modest rise in interest rates this summer would help ensure that the housing market is sustainable in the future without causing payment difficulties for the overwhelming majority of borrowers.
"We are due to meet ministers later today to discuss ways of making home-ownership more secure for all borrowers. A stable housing market helps to deliver that. There are also steps that borrowers themselves can take, like reducing their risk of exposure to an unexpected loss of income by taking out insurance to cover their mortgage payments."
Although remortgaging remained buoyant, the housing market provided the main stimulus with loans for house purchase increasing to £12 billion (from £9.2 billion in April), the highest monthly figure since records began. (MB)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
19 March 2004
FSA fine Allied Dunbar £725,000 over 'mishandled' complaints
Financial watchdog, the Financial Services Authority (FSA), has fined Allied Dunbar Assurance plc £725,000 for "serious flaws" in procedures for handling mortgage endowment complaints. An FSA investigation revealed that mishandled complaints between May 2001 and April 2003 had exposed a large number of Allied Dunbar customers to potential loss.
FSA fine Allied Dunbar £725,000 over 'mishandled' complaints
Financial watchdog, the Financial Services Authority (FSA), has fined Allied Dunbar Assurance plc £725,000 for "serious flaws" in procedures for handling mortgage endowment complaints. An FSA investigation revealed that mishandled complaints between May 2001 and April 2003 had exposed a large number of Allied Dunbar customers to potential loss.
17 July 2001
UK INFLATION REMAINS AT TWO YEAR HIGH
UK inflation has remained at a two-year high, official figures have revealed. The Office for National Statistics (ONS) revealed prices were 2.4 per cent higher in June than the same month a year before.
UK INFLATION REMAINS AT TWO YEAR HIGH
UK inflation has remained at a two-year high, official figures have revealed. The Office for National Statistics (ONS) revealed prices were 2.4 per cent higher in June than the same month a year before.
07 August 2009
Mortgage Repossession 'Last Resort'
It has emerged that new legislation will require that judges in Northern Ireland should now see repossession proceedings against homeowners as a last resort. According to details just made public, this is part of a repossession protocol which has been announced by the Lord Chief Justice, Sir Declan Morgan.
Mortgage Repossession 'Last Resort'
It has emerged that new legislation will require that judges in Northern Ireland should now see repossession proceedings against homeowners as a last resort. According to details just made public, this is part of a repossession protocol which has been announced by the Lord Chief Justice, Sir Declan Morgan.
21 April 2011
Mortgage Lenders Get 'Spring In Their Step'
Mortgage lending has soared this Spring - by 21% during March - as both buyers and people remortgaging returned to the market. A total of £11.3 billion was advanced during the month, the highest level since November, but still slightly down on the £11.5 billion that was lent in March last year, the Council of Mortgage Lenders (CML) said this week.
Mortgage Lenders Get 'Spring In Their Step'
Mortgage lending has soared this Spring - by 21% during March - as both buyers and people remortgaging returned to the market. A total of £11.3 billion was advanced during the month, the highest level since November, but still slightly down on the £11.5 billion that was lent in March last year, the Council of Mortgage Lenders (CML) said this week.
10 November 2009
Banks Relent To Help Debt-Hit
Ireland's banks have succumbed to Government pressure to offer a moratorium on debtors. The ten biggest mortgage lenders in Ireland finally pledged today to offer homeowners more time to pay back arrears before taking legal action against them.
Banks Relent To Help Debt-Hit
Ireland's banks have succumbed to Government pressure to offer a moratorium on debtors. The ten biggest mortgage lenders in Ireland finally pledged today to offer homeowners more time to pay back arrears before taking legal action against them.
-
Northern Ireland WeatherThis Evening and Tonight:Showers, scattered in the evening, will clear by midnight leaving the night dry with clear spells. Perhaps a touch of ground frost. Cloud will spread east towards morning. Minimum temperature 2 °C.
