Regulator unveils future mortgage plans

The findings, which will be published in early December, will also aim to clarify the continued confusion between self-cert and fast-track, which the FSA said were clearly different. Following the publication of the findings, the regulator will launch the second stage of its quality of advice outcomes pilot in January 2008, with the results published the following June.

Mandy Spink, head of mortgages and credit unions in the small firms division of the FSA, said: “Following the publication of our mortgage quality of advice process work earlier this year, we have been looking at the areas where we found particular problems. These are affordability, training and competence, and senior management responsibilities. We will be reporting the findings of these reviews in December. We will also provide further guidance to help firms if we find any areas of particular weakness. Brokers must take note of this information, review their processes and ensure that they have robust procedures in place. We will be starting a further phase of mortgage quality of advice process work in January and we expect to see improvement in the results when compared to the first phase of work.”

Bill Warren, director of associate members for the Regulatory Alliance of Mortgage Packagers, said: “It’s one of those visual practical aids, especially for compliance people, but I wish the FSA would promote it more. You have to go looking for it.

“Unfortunately I think quality of advice will raise issues and we will find concerns around suitability and