‘We All Live in a Robbie Fowler House’: The Geographies of the Buy to Let Market in the UK

2009 ◽  
Vol 11 (3) ◽  
pp. 438-460 ◽  
Author(s):  
Andrew Leyshon ◽  
Shaun French
Keyword(s):  
Private Sector ◽  
Financial Institutions ◽  
Mortgage Lending ◽  
Mortgage Market ◽  
Capital Gains ◽  
Financial Security ◽  
Financial Responsibility ◽  
Income Stream ◽  
The Uk

The buy to let market, produced through the re-regulation of the private rented market in the late 1980s and the promotion of a new mortgage product by the Association of Residential Letting Agents and private sector lenders in the 1990s, accounted for 12 per cent of all UK mortgage lending by 2007. Buy to let is popularly understood as a vehicle for speculative investment and as a means for securing long-term financial security through capital gains via property, and it represents an important aspect of financialisation, helping to call forth new investor subjectivities, which promulgate individualised forms of financial responsibility. Buy to let was also a profitable income stream for financial institutions in the UK which outperformed the mainstream mortgage market until problems in this market became apparent. This article reports on research carried out on the buy to let market and draws attention to the highly geographical nature of the market, which has distinctive regional and urban geographies. These geographies help to explain the differing fortunes of the buy to let market.

Financial Market in Nepal

2020 ◽  
pp. 794-842
Author(s):  
Narayan Prasad Paudel
Keyword(s):  
Private Sector ◽  
Financial Market ◽  
Financial Institutions ◽  
Banking Sector ◽  
Financial Sector ◽  
Legal Framework ◽  
Capital Gains ◽  
Individual Investors ◽  
Infrastructure Development ◽  
Private Sector Development

The Nepalese financial sector is attributed of banking sector and non-banking sector. There is exponential growth in the number of financial institutions in Nepal in the last decade. The existing legal framework and institutional setup in Nepal is not conducive to the overall financial sector and private sector development and thus there is an urgent need for reformation in these sectors. The major impediments to private sector involvement in infrastructure development projects include the political and administrative instability; lack of consistent planning; lack of effective institutional support in designing and development of private sector infrastructure projects. Talking about the capital market and capital gains In Nepal, capital gains on securities transactions are taxed as ordinary income to corporations and individual investors while in most of the emerging markets capital gains on investments in stocks and bonds are not taxed, which need to be reformed as per the international practices.

Many Happy Returns? Investment Governance and the Political Economy of Time in UK Pensions Provision

2021 ◽  
pp. 209-246
Author(s):  
Craig Berry
Keyword(s):  
Political Economy ◽  
Financial Institutions ◽  
Capital Investment ◽  
Pension Funds ◽  
The Political ◽  
Private Pensions ◽  
Pension Schemes ◽  
The Future ◽  
The Uk

We are increasingly conscious that private pension schemes in the UK are primarily financial institutions. UK private pensions provision has always been highly financialized, but the individualization of provision means this dynamic matters more than ever to retirement incomes. Furthermore, individualization has occurred at a time when the UK economy’s capacity to support a long-term approach to capital investment, upon which pensions depend, has declined. The chapter argues that pensions provision essentially involves managing the failure of the future to resemble the present, or more specifically present forecasts of the future. As our ability to manipulate the value of the future has increased, our ability to tolerate forecast failure has declined. The chapter details how pension funds invest, and how this has changed, and provides an original understanding of several recent attempts to shape pensions investment, ultimately demonstrating the limitations of pensions policy in shaping how provision functions in practice.

Sooner rather than later? Younger and middle-aged adults preparing for retirement

2000 ◽  
Vol 20 (4) ◽  
pp. 445-466 ◽  
Author(s):  
MICHAEL ANDERSON ◽  
YAOJUN LI ◽  
FRANK BECHHOFER ◽  
DAVID McCRONE ◽  
ROBERT STEWART
Keyword(s):  
Financial Institutions ◽  
Lower Income ◽  
Family Responsibilities ◽  
High Profile ◽  
Income Groups ◽  
Financial Preparation ◽  
The Uk ◽  
Middle Aged Adults ◽  
Very High

During the 1990s, the British population has been urged by government and financial institutions to make more personal preparation for retirement and to begin doing so while they are still relatively young. This paper, set within a wider analysis of people's long-term planning behaviour, investigates the extent to which a sample of the general population of Kirkcaldy in Scotland, mostly aged between 30 and 49, has given thought to the question of retirement, feels they have made financial preparation for it, and also how comfortable they expect retirement to be. While it seems likely that early planning for retirement is more common today than 20 years ago, there remain substantial sections of the population, including – but going well beyond – many in lower income groups, who appear not to be preparing, for varying combinations of reasons (including family responsibilities, personal history, cultural and general orientation to life). The study concludes that planning for retirement must be seen as part of planning as a whole, and that the propensity to plan is the outcome of a complex web of material, social, cultural and psychological factors. This suggests that even very high profile urging from politicians and financial institutions is unlikely to deliver adequate pensions for significant sections of the UK population.

scholarly journals Economic Mechanism and Cash Flows Modeling for Reverse Mortgage

2018 ◽  
Vol 22 (6) ◽  
pp. 106-120
Author(s):  
E. V. Kuz’mina ◽  
A. A. Yanin
Keyword(s):  
Real Estate ◽  
Senior Citizens ◽  
Market Equilibrium ◽  
Cash Flows ◽  
Mortgage Lending ◽  
Mortgage Market ◽  
Reverse Mortgage ◽  
Economic Mechanism ◽  
Expected Benefits ◽  
The Uk

The research is devoted to the economic mechanism of reverse mortgage —  a credit product aimed at improving the standard of living of senior citizens, owners of real estate. The idea of the reverse mortgage has been given, as well as the mechanisms of use of real estate owned by senior citizens in order to provide them with additional income. The examples of reverse mortgage in the uS, the uK, Spain and Australia have been given. The authors have also described the methods of reverse mortgage lending in Russia. Based on the analysis of international experience, the economic expediency of investing in this credit tool has been assessed. Considering consumer demand factor, it is possible to calculate the equilibrium rate and, therefore, to find the coordinates of the market equilibrium point. The authors have developed a mathematical model of reverse mortgage for the case of lifetime annuity payments. This model allows to calculate the expected benefits of borrowers and lenders. There have been done (and implemented) two notes that significantly distinguish reverse mortgage modeling from other loan products: 1) a lifetime reverse mortgage does not have a fixed expiration date; 2) when taking a loan of this type, borrowers consider not only consumption, but also accumulation of inheritance. The model allows to calculate the position of break-even points and market equilibrium (relative to the interest rate). This will help economically interested agents to assess the potential of the reverse mortgage market in Russia.

Financial Market in Nepal

2016 ◽  
pp. 146-194
Author(s):  
Narayan Prasad Paudel
Keyword(s):  
Private Sector ◽  
Financial Market ◽  
Financial Institutions ◽  
Banking Sector ◽  
Financial Sector ◽  
Legal Framework ◽  
Capital Gains ◽  
Individual Investors ◽  
Infrastructure Development ◽  
Private Sector Development

The Nepalese financial sector is attributed of banking sector and non-banking sector. There is exponential growth in the number of financial institutions in Nepal in the last decade. The existing legal framework and institutional setup in Nepal is not conducive to the overall financial sector and private sector development and thus there is an urgent need for reformation in these sectors. The major impediments to private sector involvement in infrastructure development projects include the political and administrative instability; lack of consistent planning; lack of effective institutional support in designing and development of private sector infrastructure projects. Talking about the capital market and capital gains In Nepal, capital gains on securities transactions are taxed as ordinary income to corporations and individual investors while in most of the emerging markets capital gains on investments in stocks and bonds are not taxed, which need to be reformed as per the international practices.

Deregulation, Debt and Downturn in the UK Economy

1991 ◽  
Vol 137 ◽  
pp. 75-98 ◽  
Author(s):  
J.R. Sargent
Keyword(s):  
Private Sector ◽  
Financial Institutions ◽  
Financial System ◽  
The Uk

The boom of the later 1980s was not due solely to financial institutions greater freedom to lend to the private sector. This was activated by over-optimism about the economy's performance. These two influences combined to cause the ‘over-heating’ for which the current recession is seen as the cure. Although the removal of restraints on financial institutions contributed, it was a once-for-all process which is now virtually complete. The case for returning to a regulated financial system is weaker than the case for living with an unregulated one, despite the higher debt ratios and other conditions which have resulted from the transition to it.

scholarly journals An Anti-Money Laundering Timeline and the Relentless Regulatory Response

2018 ◽  
Vol 82 (3) ◽  
pp. 215-231 ◽  
Author(s):  
Sue Turner ◽  
Jonathan Bainbridge
Keyword(s):  
Private Sector ◽  
National Security ◽  
Money Laundering ◽  
Financial Institutions ◽  
Policy Making ◽  
Perceived Threat ◽  
Effective Response ◽  
Terrorist Financing ◽  
Regulatory Measures ◽  
The Uk

The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (‘MLR 2017’) came into force on 26 June 2017, further increasing anti-money laundering (AML) compliance obligations imposed upon financial institutions and others in the UK. Against this backdrop, this article will identify a growing trend of AML policy-making affecting the private sector; explore the correlation of legislative and regulatory measures taken in the UK with those in Europe and globally; and ask whether the measures represent a proportionate and effective response to the perceived threat of money laundering and terrorist financing to national security.

Development banks in BRICS

2020 ◽  
pp. 188-204
Author(s):  
John Weiss
Keyword(s):  
Private Sector ◽  
Financial Institutions ◽  
Financial Inclusion ◽  
Academic Literature ◽  
The Common ◽  
Development Banks

The use of development banks as a source of long-term funding is one of the common characteristics of BRICS economies. This chapter summarizes data on the extent of the involvement of such banks and reviews the key objectives identified for such banks in the academic literature—in particular their role in terms of strategic lending and financial inclusion. The experience of the Brazilian bank Banco Nacional de Desenvolvimento Econômico e Social is used as a case study. This bank has played a major role in the Brazilian economy as a source of long-term credit, although critics have pointed to a focus on large borrowers and its possible impact in stifling the emergence of private sector financial institutions.

scholarly journals Supply driven mortgage choice

Urban Studies ◽  
2016 ◽  
Vol 54 (5) ◽  
pp. 1194-1210
Author(s):  
Alla Koblyakova ◽  
Michael White
Keyword(s):  
Capital Requirements ◽  
Mortgage Lending ◽  
Mortgage Market ◽  
Policy Implications ◽  
Supply Side ◽  
Variable Rate ◽  
Mortgage Debt ◽  
Mortgage Choice ◽  
The Uk ◽  
Supply Side Factors

Variable mortgage contracts dominate the UK mortgage market. The dominance of the variable rate mortgage contracts has important consequences for the transmission mechanism of monetary policy decisions and systemic risks. This raises an obvious concern that a mortgage market such as that in the UK, where the major proportion of mortgage debt is either at a variable or fixed for less than two years rate, is vulnerable to alterations in the interest rate regime. Theoretically, mortgage choice is determined by demand and supply factors. So far, most of the existing literature has focused on the demand side perspective, and what is limited is consideration of supply side factors in empirical investigation on mortgage choice decisions. This paper uniquely explores whether supply side factors may partially explain observed/ex-post mortgage type decisions. Empirical results detect that lenders’ profit motives and mortgage funding/pricing issues may have assisted in preferences toward variable rate contracts. Securitisation is found to positively impact upon gross mortgage lending volumes while negatively impacting upon the share of variable lending flows. This shows that an increase in securitisation not only improves liquidity in the supply of mortgage funds, but also has the potential to shift mortgage choices toward fixed mortgage debt. The policy implications may involve a number of measures, including reconsideration of the capital requirements for the fixed, as opposed to the variable rate mortgage debt, growing securitisation and optimisation of the mortgage pricing policies.

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