Building societies announce intention to expand mortgage services

Posted: 16 Jun 2008 13:59:33 GMT

As an increasing number of banks tighten their lending criteria, borrowers will be pleased to learn that building societies are planning to expand their mortgage services.

As an increasing number of banks tighten their lending criteria, borrowers will be pleased to learn that building societies are planning to expand their mortgage services.

The Building Societies Association (BSA) announced yesterday (June 12th) that it will be concentrating its efforts on providing support in the mortgage and housing markets.

Building societies currently account for just over 20 per cent of the deposit and residential mortgage markets and they believe that with the support of the BSA they can increase their presence in the market.

John Goodfellow, chairman of the BSA said: "This expansion of representation is a natural step for the BSA and will reinforce the standing of building societies in the financial sector. It will help to ensure that the differences between building societies and banks are more widely understood."

In a bid to invest in the mortgage market, the BSA plans to recruit seven members of staff in the second half of 2008 to support the industry.

Responding to the announcement by the BSA, the Council of Mortgage Lenders (CML) said that it's "goal remains to represent the broad range of mortgage lenders".

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