We have been working closely with the government to try to ensure that the number of homes taken into possession is kept as low as possible. But there are some things that the government could do itself, like encouraging the take-up of mortgage rescue. Various schemes are being developed – or are under consideration – in Scotland, Wales and Northern Ireland. In England, however, only a handful of local authorities and housing association offer mortgage rescue. We believe that it would be more effective if a more standardised scheme was more widely available. Mortgage rescue – along with the promotion of low-cost home-ownership and shared equity – are perhaps the best options for local authorities that want to help make home-ownership more sustainable. But some councils see a different role for themselves. Some council leaders are arguing that local authorities should become more directly involved in mortgage lending.

We have no objection in principle, although in practice it might be difficult for local councils to run fully fledged mortgage businesses. But if councils are to be more active in the mortgage market, we believe that it is important that they regulated by the FSA – just as our own members are. That would ensure a level playing field for providers, and help promote consumer confidence in mortgage lending. Finally, we look at recent data on buy-to-let. It shows that lending to landlords in holding up well, despite current market conditions. Visit our website to read the latest issue of CML News & Views -Ends-

For further press information please contact: Tamsin Askew Tel: 020 7438 8921 Email: Tamsin.Askew@cml.org.uk website: www.cml.org.uk