15/02
28 February 2002
CONSULTATION ON MORTGAGE REGULATION PUBLISHED
The start of the consultation period on mortgage regulation was announced today by Economic Secretary Ruth Kelly.
The consultation document details a range of proposals and invites feedback from interested parties.
Ruth Kelly commented:
?Choosing a mortgage is the biggest financial decision that most people will ever make. It's important to get it right first time - mistakes can be costly.
?CAT standards have already been introduced to help borrowers understand mortgages. Regulation will benefit consumers by ensuring a high standard of advice is available across the board and that access to clear and comparable information is easily accessible.
?The consultation document sets out options for the smooth transfer of regulation to the FSA. I look forward to receiving comments on the proposals.?
The consultation period runs until 30th April 2002.
NOTES TO EDITORS
1. Feedback on the document should be addressed to:
Mr Kevin Dignan
HM Treasury
Allington Towers
19 Allington Street
London
SW1E 5EB
The document can be found on-line at the address below.
2. HM Treasury announced 12th December 2001 that the FSA would take over statutory regulation of residential mortgage lending, including advice. Details of this, and a draft timetable for implementation can be found at this website.
3. The FSA intends to consult widely on developing the new regime and will work closely with industry standard-setting bodies.
4. CAT standards for mortgages were introduced in April 2000.
5. Media enquiries should be directed to Simon Moyse, HM Treasury Press Office, 020 7270 4420.