Less mortgage products

Since the collapse of Bradford and Bingley the number of mortgage products available in the UK has fallen by 12.4%, according to figures released by Moneyfacts.co.uk.

The number of mortgage products dropped from 3914 to 3427 on Monday. The buy-to-let sector saw a drop of 195 products.

The demise of B&B means that the Treasury will be winding down a mortgage portfolio worth £41.3 billion. This on top of the fact that four out of the top six buy-to-let mortgage lenders have either disappeared or are scaling down lending has led to this massive demise.

Lending rose by only £143 million in August, a growth rate of only 2% the previous year making it the slowest rate of growth since the early 90s.

It seems the reluctance of financial institutions to lend to one another is continuing to affect the ability of the public to borrow.

 

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