FF Bill to tackle mortgage rates to be debated on Tuesday and Wednesday night

[demoivre]

I think this is the real missed opportunity of the Bill. Borrowers that are not in a position to refinance their loans are not in a position to benefit from competition in the market and, in my opinion, are deserving of a degree of statutory protection. I am of the view that we should adopt the French model (or a variant of this model) where rates are simply capped at a prescribed % over average rates (either of all outstanding loans or new lending rates).

I totally agree that this is the way to go. Any amount of competition in the market is never going to help those who cant switch lenders, and these borrowers need to be protected from being fleeced by lenders.

 

[Gordon Gekko]

Does the Bill allow the Central Bank to increase mortgage rates?

That's a power that could be used to influence the economy in a way that hasn't been possible since it was devolved to the EU.