Bank of England Lending

Bank of England given new powers to curb risky buy-to-let lending

November 18th, 2016

The Bank of England is gaining powers to curb any lax lending in the fast growing buy-to-let mortgage sector, an area it has identified as posing a potential risk to the financial system.

The Treasury is to give Threadneedle Street the ability to restrict the size of loan relative to the value of a property and also limit the size of loans relative to the amount of rent landlords receive to cover interest payments.

 

Source: The Guardian

https://www.theguardian.com/business/2016/nov/16/bank-england-powers-curb-buy-to-let-lending-mortgages