February 21st, 2008

EXCLUSIVE : The Numbers Are InThe Myth of the "Quality Loan Book"

Alistair Darling and Gordon Brown chant the same mantra, the government’s investment is backed by the assets of the bank, “a high quality loan book”, which they claim has been verified by the FSA – as if the FSA employs surveyors and has the competence to take a view. Anecdotaly this untruth was unraveling, Anatole Kaletsky said this week that it was a delusion to believe that “Northern Rock had a “sound book of assets” when it was the country’s biggest lender of mortgages worth more than the houses on which they are secured.” Guido now has the hard numbers to prove it:These figures were compiled yesterday and are taken from analysis of the Courts Service, Possession Claims Online Database. Guido has obtained the list of 690 individual Northern Rock Possession Claims, averaging some 40 every working day. Of all mortgage lenders Northern Rock has the absolute highest rate of possession claims. Hardly evidence of a sound loan book…

UPDATE : As of midnight last night Northern Rock has withdrawn from offering 125% mortgages.

UPDATE :
In the comments a co-conspirator has made an effort to normalise the results by market share using market leader HBOS against Northern Rock:

HBOS has 20.4% of the market, with 520 reposessions in Feb = 25 repos per 1% of market

Northern Rock has 7.2% of the market, with 690 reposessions in Feb = 95 repos per 1% of the market.

In short, Northern Rock repossesses almost 4 houses to every one repossesed by HBOS, when market share is factored into the equation.

Hat-tip : HousePriceCrash.co.uk via LabRat



Seen Elsewhere

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Political Bloggers Are Equal Opportunities Attackers | ConHome
Michael Gove Should Resign | Conservative Women
Sarah Wollaston’s Naming and Shaming of Bloggers | LibDemVoice
Fraser Nelson: Put Your Money on Ed Miliband to Win | Guardian
Guido Fawkes is Too Aggressive | The Times
Ditch Tobacco Plain Packaging | Grassroots Conservatives
What Farage, Boris and Rob Ford Have in Common | William Walter
Labour Spell New Adviser’s Name Wrong | ITV


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Rod Liddle on the loony UN sexism special rapporteur:

“There is more sexism in Britain than in any other country in the world, according to a mad woman who has been sent here by the United Nations.

Rashida Manjoo is a part-time professor of law at Cape Town University in the totally non-sexist country of South Africa (otherwise known as Rape Capital Of The World).

Mrs Magoo has been wandering around with her notebook and is appalled by the sexist “boys’ club” culture here, apparently.

I don’t doubt we still have sexism in the UK. But is it worse than in, say, Saudi Arabia, d’you think, honey-lamb? Or about 175 other countries? Get a grip, you doolally old bat.”



orkneylad says:

What’s he been doing FFS, mining bitcoins?


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