HM Treasury has confirmed that mortgages owned by the British government will be completely sold off by 2017 to 2018. However the treasury has added that it would be subject to market conditions and ensuring tax payers get “value for money”.
The Chancellor George Osborne is looking to sell £15.7bn of Bradford & Bingley mortgages in order to recoup back the £16bn of taxpayers cash that was used to bail out the lender during the financial crisis.The amount raised by the treasury is expected to be one of the biggest asset sales by a government in Europe.
So who wants to buy the mortgages? It is thought that a consortium of banks, including high street lenders Barclays, HSBC and Lloyds have submitted proposals to the Treasury to guarantee financing to buyers of the B&B loans in a bid to help the Treasury plans.
It is thought that a consortium of banks, including high street lenders Barclays, HSBC and Lloyds have submitted proposals to the Treasury to guarantee financing to buyers of the B&B loans in a bid to help the Treasury plans.
The Treasury said since 2010 it has recovered £75 billion of taxpayer cash used to bail out banks and savers’ money caught up in the failure of Icelandic bank Landsbanki.