Local view for "http://purl.org/linkedpolitics/eu/plenary/2006-11-14-Speech-2-070"
| Predicate | Value (sorted: default) |
|---|---|
| rdf:type | |
| dcterms:Date | |
| dcterms:Is Part Of | |
| dcterms:Language | |
| lpv:document identification number |
"en.20061114.8.2-070"2
|
| lpv:hasSubsequent | |
| lpv:speaker | |
| lpv:spoken text |
"Mr President, what I was trying to tell you before was that Mr Allister’s speech was coming through in a foreign language on the English channel, so the English was being translated into something else, I do not know what. I am sorry Mr Allister, but we could not make out what you were saying!
On land registers, the report favours improving access to standardised information, as well as supporting further work on the European Land Information Service.
Tax barriers remain a problem and need to be looked at, even if their resolution is dependent upon the Member States under subsidiarity.
The European Central Bank and the Commission have the important job of monitoring the potential risks of the massive and increasing levels of mortgage debt and their potential impact on capital markets.
I much appreciate the support and input received from my colleagues on all sides of the Committee on Economic and Monetary Affairs. The Commission seems to be set on much the same line as we propose. We look forward to the White Paper next year and we hope we will be able to continue the excellent cooperation we have enjoyed so far on this important subject.
European mortgage loans outstanding amount to some EUR 5 trillion, or 45% of the EU’s GDP, and mortgage lending has grown by 9.4% per annum over the past five years. A home is usually the largest purchase made in a lifetime, and the related mortgage is the most important financial obligation most people ever have. It is no surprise, therefore, that the Commission has focused on this area as it shifts its attention to retail financial services.
The mortgage market is fragmented along national lines and opening up this market should lead to consumers being offered better value and a greater choice of mortgage products. There could be more opportunities for those people who currently find it difficult to get a mortgage, such as first-time buyers or people with fixed-term contracts. It should make it easier for people moving to another EU country for work or retirement or wanting to buy a second property abroad.
For lenders, a more integrated market would offer greater economies of scale, reduce costs and lower rates for the borrower. On the other hand, local culture and traditions have shaped the products available and consumers will not want any diminution of existing consumer protection standards. Full harmonisation would be expensive for the industry and could limit the range of products it offers. The industry is highly competitive within most of our Member States, so we must not take heavy-handed action that might damage this booming sector. We want to see a European mortgage credit market with a broad range of products at competitive prices and any changes must benefit mortgage borrowers above all.
We are therefore against a grand harmonising piece of legislation. It would be bad for consumers and bad for business. Instead, the Committee on Economic and Monetary Affairs agrees that we should focus on targeted measures aimed at removing specific barriers to cross-border mortgages. Any measures should only be taken after impact assessments have shown that the benefits outweigh the costs. Non-legislative means are to be preferred wherever possible.
Our first priority should be to bring about a better European funding market. There are a number of obstacles preventing this. I would therefore like to see a database covering the various mortgage markets and mortgage securities, so that investors can better evaluate and price mortgage pools. We suggest a range of standardised packages of European mortgages for trading on the capital markets. Mortgage brokers could play an important role in helping borrowers access mortgage credit from domestic and non-domestic lenders. I am pleased that the Commission has undertaken to assess any problems related to those credit intermediaries.
On the issue of the annual percentage rate of charge, we need an EU standard. The majority in the committee wanted an EU standard comprising all the charges levied by the lender, but with information as far as possible regarding any other costs. The report considers that restrictions on early repayment charges and interest rates are likely to restrict the development of new products, especially those for higher risk borrowers, as well as the development of the funding market.
Among other issues we raised are removing obstacles to the transfer of loans across borders and assessing the potential of the Euro-mortgage. The law applicable to mortgage credit contracts should be addressed, with the revision of the 1980 Rome Convention. On credit databases, we want to see a consistent format and non-discriminatory cross-border access to both positive and negative credit data, always subject to privacy protection.
In the area of forced sales, we support the idea of a scoreboard, comparing the length and costs of judicial processes in the various Member States. Various professional bodies should agree on common property valuation standards."@en1
|
| lpv:spokenAs | |
| lpv:unclassifiedMetadata |
Named graphs describing this resource:
The resource appears as object in 2 triples