Vote on European mortgage regulation delayed for three months
Published: 7 August 2012 | Author: Bernard Clarke
A crucial vote that may determine the final shape of the proposed European directive on credit agreements relating to residential property (CARRP) has been delayed for three months. An updated timetable on European Parliament’s website says that the indicative date for a plenary sitting – at which a vote could take place – is now scheduled for 10 December. It was originally due to take place on 10 September.
We understand that the three-way discussion on the proposed directive involving the European Parliament, Council and Commission – the so-called "trialogue" – can continue in the autumn, as originally planned, in advance of the plenary session.
The revised timetable means that the vote on the proposed European directive may now take place after the Financial Services Authority (FSA) has published the policy statement and final rules for mortgage regulation in the UK, as it moves towards completion of the mortgage market review. The FSA’s policy statement is expected in the autumn.
The delay means that it is still not clear that the timing of proposals for mortgage regulation in the UK and Europe will be closely aligned. On behalf of lenders, we are continuing to work with the FSA in the UK and the authorities in Europe for a regulatory structure that meets the needs of the domestic mortgage market and results in a coherent set of proposals.