White Paper on the Integration of EU Mortgage Credit Markets
DG Health and Consumers
On 18 December 2007 the European Commission adopted the White Paper on the Integration of EU Mortgage Credit Markets
This White Paper will be placed in the context of the Commission Communication on a Single Market for 21st Century Europe, which underlines the benefits that the European economy could derive from a greater integration of retail financial services markets.
Mortgage credit is, for most European citizens, the biggest financial investment of a lifetime. Furthermore, mortgage credit markets represent a significant part of Europe’s economy, with outstanding residential mortgage credit balances representing almost 47% of the EU GDP.
This White Paper presents a package of measures aimed at improving the efficiency, the competitiveness and the integration of the EU residential mortgage markets, by facilitating the cross-border supply and funding of mortgage credit, increasing the diversity of products, improving consumer confidence and promoting customer mobility.
According to the White Paper, the key issues to be addressed for future actions are: pre-contractual information, Annual Percentage Rate of Charge (APRC), responsible lending and early repayment. The policy orientations presented in the White Paper will be further developed in close cooperation with all stakeholders and will be subject to individual impact assessments including a quantitative cost-benefit analysis, before their adoption by the Commission.