Don’t regulate buy-to-let, BSA tells government

Published on

Treasury plans to regulate buy-to-let mortgages could scupper the Government’s objectives to increase investment in the UK private rental sector, the Building Societies Association (BSA) has warned.

The BSA said in its response to the Treasury’s consultation that extending regulation to buy-to-let mortgages would fail to address the underlying issues in the buy-to-let sector and, could result in even more lenders’ withdrawing from the market as new proposals fail to reflect the investment decisions that buy-to-let borrowers make.

Paul Broadhead, head of mortgage policy at the BSA said: “The decision to enter into the buy-to-let market is an investment decision made by the borrower. Including buy-to-let mortgages in the same regime as owner occupied mortgages would not be practical. Subjecting buy-to-let investors to affordability and suitability assessments in the same way as owner occupiers is not appropriate

Latest POLL

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Square 1 Media announces May Mortgage Market Debate

Square 1 Media is to hold its next Mortgage Market Debate on Wednesday, 21 May,...

Coventry BS maintains status as one of the best workplaces

Coventry Building Society has been named one of Great Place to Work's UK’s Best...

Atom bank breaks Near Prime record

Atom bank has reported another record-breaking month for Near Prime activity. Over the course of...

Berkeley Alexander appoints new BDM

General insurance provider Berkeley Alexander has announced the appointment of Grant Robinson as a...

Other news

Lenders must step up on high LTV products

Things are on the up for borrowers with a smaller deposit. The financial information...

Square 1 Media announces May Mortgage Market Debate

Square 1 Media is to hold its next Mortgage Market Debate on Wednesday, 21 May,...

Coventry BS maintains status as one of the best workplaces

Coventry Building Society has been named one of Great Place to Work's UK’s Best...