"Limiting lending to 3x salary will kill what life remains in the mortgage market,” he said.
"This is a ludicrous idea which will serve only to further crush the mortgage market at a time when it needs stimulus not a straightjacket. The UK mortgage market problems are absolutely due to a typical normal adjustment that was overdue and necessary to rebalance the price/income ratio.
“It did not cause the world economic meltdown but has been exacerbated by it. Lenders should be mandated to apply more professional lending criteria to their practices with more in-depth due diligence but not be limited to generic lending limits. It will kill what life remains in the mortgage market."
