Market studies – Sale and rent back
The report made three recommendations:
- Regulation – statutory regulation under the Financial Services Authority (FSA) should be the primary means of addressing the detriment in the market. OFT proposes that secondary legislation should be introduced under the Financial Services and Markets Act 2000 (FSMA) to allow the FSA to regulate SRB providers.
- Increasing consumer awareness – of the risks around SRB, particularly in the short-term before regulation comes into place.
- Information about housing benefit – greater clarity around the eligibility of SRB consumers for housing benefit
Government responded to the report on 22 October 2008.
