Michael Coogan, CML director general, said: "We did not expect the Bank to cut rates today, but we do hope for and anticipate a cut in November.
"Even this is not a certainty though. Pricing in the mainstream market is stable, and fixed rates have started falling recently, but there is still uncertainty about how long it will take for stable funding to return to the non-conforming market.
"In the meantime, borrowers in this sector are facing tighter criteria and higher rates, although the availability of funding does seem to be improving."
