Crosby report comes in for criticism

The interim Crosby report into the state of the UK mortgage market has come in for criticism from industry members who believe that it does not go far enough in its recommendations.

Yesterday saw the report produced with a rejection of any US-style government-backed mortgage body and a call for an extension of the Bank of England's special liquidity scheme.

This was not sufficient to satisfy surveyors Cluttons, whose partner for residential sales James Hyman commented: "The Crosby Report accepts that the current logjam in the mortgage market will continue for the forseeable future, yet recommends no immediate action to break the current deadlock in the housing market."

He added that waiting until the autumn before the final report is out and major proposals made will mean leaving it "too late" to address the problems.

Similar criticisms were made by Ross Bowen, managing director of Connells Survey & Valuation.

He stated that the lack of funding for mortgages meant that those mortgage firms now offering more competitive rates were unable to meet demand for such products.

Those unable to get the right mortgage because of the liquidity crisis may decide to use the self build method to obtain a home instead.