FSA Turner offers little hope for first-time buyers

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The chairman of the FSA, Lord Turner, has hit back at critics who have accused the regulator of creating a mortgage famine with tough new rules on lending, especially to first-time buyers. In an attempt to play down fears about the exposure of the British banks to Ireland, Lord Turner also told the Treasury Select Committee that the banks’ exposure to Irish government securities was not worrying. Lord Turner told the MPs that that easy credit is not necessarily good for first-time buyers and that enthusiasm for forwarding unaffordable amounts to home buyers during the bubble had created a clear tail of very harmful lending.