Cobalt Capital on May CML figures

Andrew Montlake, partner, independent mortgage broker Cobalt Capital, comments on today's CML lending figures: "Today's mortgage lending figures were just about as expected and are in line with a 20% drop in general activity levels that most mortgage brokers have seen. Saying that, it should be remembered that this is a drop from the historically very high figures of last year, and in reality 2008 is still set to be probably the fifth highest mortgage lending year since records began. However, there are still major concerns about inflation and consumer confidence, especially following HBOS figures this morning predicting a 9% fall in house prices. In the months ahead, we need strong, dynamic leadership from the Prime Minister, the Chancellor and Mervyn King, with the Bank of England being released from its remit of focusing purely on inflation, and instead being allowed to take a wider view on the economy. These issues must be addressed urgently as it is the consumer that will ultimately bear the brunt of a laissez-faire attitude."