Turner: Regulators could cap mortgages

They will also be able to limit credit to real estate investors, and force banks to restrict lending in an effort to stamp out speculative bubbles and protect consumers from crippling levels of debt. Speaking at the Mansion House last night, Lord Turner called for a "mature public debate" on the issue, acknowledging the measures, which "may include maximum loan-to-value ratios", would be "unpopular". Credit controls would mean some borrowers, who have had no trouble raising money in the past, would be turned down. The peer also backed the government's proposal to set up a new Finan...