A brief guide to the current proposals for mortgage regulation in the UK
| Published date | 01 June 2003 |
| Date | 01 June 2003 |
| Pages | 105-112 |
| DOI | https://doi.org/10.1108/13581980310810507 |
| Author | Philip Ryley,John Virgo |
| Subject Matter | Accounting & Finance,Financial risk/company failure,Financial compliance/regulation |
Papers
A brief guide to the current proposals for
mortgage regulation in the UK
Philip Ryley* and John Virgo
Received (in revised form): 14th April, 2003
*TLT Solicitors, One Redcliff Street, Bristol BS99 7JZ, UK; tel: +44 (0)117 917 7600;
fax: +44 (0)117 917 7778; e-mail: pryley@TLTsolicitors.com
Philip Ryley is an associate and Head of
the Compliance and Training Consultancy
at commercial law firm TLT Solicitors,
Bristol and specialises in financial ser-
vices, general insurance and mortgage
regulation, including FSA authorisation
and supervision issues. Philip is a
member of the Divisional Board of the
Association of Mortgage Intermediaries
(AMI)), which is part of the Association of
Independent Financial Advisers (AIFA).
John Virgo is a barrister specialising in
financial services law and regulatory
issues. Both authors are associates of the
Compliance Institute and advise both len-
ders and intermediaries on all aspects of
mortgage regulation.
ABSTRACT
KEYWORDS: mortgage regulation, FSA,
lender, intermediary
The consultation process on mortgage regulation
has been a long and tortuous road but it would
appear that there will be no further delays in its
implementation or even further change of
emphasis by the Government. In anticipation of
that, the authors provide an overview of what
is proposed.
BACKGROUND REGULATORY EVENTS
The background events leading up to the
proposals to bring ‘regulated mortgage
contracts’ within the scope of regulatory
control by the Financial Services Authority
(FSA) are in outline as follows:
— July, 1999: HM Treasury invited public
consultation in respect of mortgage
selling
— January, 2000: HM Treasury published
its consideration of the responses
received to the above Consultation
Paper identifying four key areas of
‘consumer detriment’ in relation to
mortgages (poor information, disadvan-
tageous product features, gaps in regu-
latory control and unsatisfactory
treatment of arrears)
— January, 2000: the Government indi-
cated that it was proposing to bring
mortgage lending and administration of
mortgages within regulatory control
— November, 2000: FSA publishes CP70,
‘Mortgage Regulation: The FSA’s high
level approach’
— June, 2001: FSA publishes CP98, ‘The
draft Mortgage sourcebook, including
Policy statement on CP70’
— December, 2001: the Government indi-
Page 105
Journal of Financial Regulation and Compliance Volume 11 Number 2
Journal of Financial Regulation
and Compliance, Vol. 11, No. 2,
2003, pp. 105–112
#Henry Stewart Publications,
1358–1988
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