CML response to RICS valuation commission
Published: 24 January 2014
The Council of Mortgage Lenders broadly welcomes the RICS valuation commission report by Dr Oonagh McDonald CBE, and looks forward to playing a role in taking the identified recommendations forward.
A number of the recommendations from the report chime with points that the CML made in its submission to RICS as part of the inquiry.
Others will need more detailed consideration, as part of an ongoing dialogue between the lending industry and the surveying profession. In particular, significant caution would be needed before introducing the equivalent of the Scottish Home Report into England and Wales - as the report acknowledges.
Commenting on Dr McDonald's findings, CML director general Paul Smee said:
"Lenders want to work efficiently and fairly with the valuers on whose professional judgement they rely. As the report makes clear, the influences on the valuation market are many and various. It is important for the health of the market that there is both confidence and adequate supply in the valuation market - and that lenders, borrowers, and valuers alike are clear about the purpose and scope of valuation reports.
"This report should provide a very useful checklist of improvements that might help the valuations market to operate more smoothly and we look forward to playing a constructive role in taking these forward - although we note that only two of the twelve recommendations are specifically directed to lenders."
Notes to editors
1. The Council of Mortgage Lenders' members are banks, building societies and other lenders who together undertake around 95% of all residential mortgage lending in the UK. There are 11.2 million mortgages in the UK, with loans worth over £1.2 trillion.
2. The full RICS report is available to download from the RICS website here.
3. Full response by the CML to the independent inquiry into valuation is available here.