The UK-based Council of Mortgage Lenders has welcomed the launch of the mortgage finance working group, under the chairmanship of James Crosby.
The Council of Mortgage Lenders (CML) said that it looks forward to actively participate as the new working group develops its proposals.
CML said that the action to restore the functioning of markets, including the market in mortgage-backed securities, will help improve the availability of market funding and sustain confidence in mortgage and housing markets.
CML agrees with Mr Crosby’s assessment of the need for measures that are market-developed and market-led. While Mr Crosby and the working group are developing their proposals for the Chancellor, CML believes that other stakeholders, in particular the Bank of England, have an important role to play now.
Michael Coogan, director general of CML, said: The working group has been given a broad remit to consider what is needed to restore confidence in mortgage funding markets.