HC Deb 10 July 2000 vol 353 cc440-1W
Ms Abbott

To ask the Chancellor of the Exchequer what recent consultations he has had with(a) the Financial Services Authority, (b) the Department of Trade and Industry, (c) the Office of Fair Trading, (d) the European Commission and (e) consumer groups about the definition of a mortgage; and if he will list the (i) consumer groups and (ii) others he is consulting about the definition of a mortgage. [129263]

Miss Melanie Johnson

I refer my hon. Friend to the announcement made on 27 January 2000,Official Report, columns 262–64W, of the Government's decision on the regulation of mortgages.

That decision was the outcome of a consultation exercise that gathered a great deal of evidence, including that from borrowers and consumer groups, about what can go wrong with mortgage lending.

The proposals announced by the Government were designed specifically to address these problems and put the consumer in control.

Following the announcement of the Government's decision, the Treasury has received helpful views on the definition of a mortgage, and is also drawing on the expertise of the Financial Services Authority and other Government Departments. The Government will consult on any proposed legal definition at the appropriate time.