CML responds to FCA competition and responsible lending statement
Published: 16 May 2016
The Council of Mortgage Lenders is pleased to note today that the FCA's assessment is that firms have positively applied the responsible lending requirements that came in under the Mortgage Market Review. The CML also notes the FCA's assessment that there is scope for improving consumers' ability to make better choices about mortgage deals. Indeed, this is already an area of work being actively pursued by the CML as part of its ongoing work on transparency following the successful launch of the common mortgage tariff last year.
Commenting on the feedback statement from the FCA, CML director general Paul Smee said:
We are pleased that the regulator has identified no significant faults in the market. This is testament to the level of commitment that lenders showed in implementing the new requirements that emerged as part of the Mortgage Market Review.
Through our voluntary transparency initiative, working jointly with Which?, we are fully engaged with the consumer choice agenda that the FCA identifies as an area for study later in the year. We are already looking to make the kind of progress that will make it easier for consumers to compare and understand their options, and look forward to working constructively with both the industry and the regulator on this.
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 11.1 million mortgages in the UK, with loans worth over £1.3 trillion.
2. The FCA's press release is here - FCA reviews find mortgage firms lending responsibly but scope for improvement on competition.