As all UK regulated covered bonds are supported by cover pools of residential mortgages written in the UK, the UK housing market is a key factor in the stability and strength of the UK covered bonds.
A number of sites can be accessed via the links below that provide economic and statistical updates on the UK housing market:
- UK Finance represents nearly 300 of the leading firms providing finance, banking, markets and payments-related services in or from the UK . It maintains a range of statistics relating to mortgages that can be accessed via this link: www.ukfinance.org.uk/statistics/mortgages/
- The Building Societies Association represents mutual lenders and deposit takers, including all building societies in the UK. Details of its mortgage and housing statistical database can be accessed via this link: www.bsa.org.uk/statistics/mortgages-housing
A key factor in ensuring that mortgage cover pools reflect the latest possible property valuations is the quarterly indexation of house price indices. There are two principal UK house price indices used for this purpose the Halifax and Nationwide HPI. The links below provide historic index values, details of the methodolgies used as well as commentaries on the latest monthly movements in HPI: