Commercial Finance Specialists

Banks with considerable bad debt on their books need to be forced to publicly announce a figure, it has been claimed.

Banks with considerable amounts of bad debt should publicly come forward and "out a figure on it", according to an industry expert.

Technical manager at mortgageforce Katie Tucker believes that in order for sources of finance to be made available to borrowers of commercial mortgages and other loans at pre-recession levels once again the securitisation markets need to be brought back to healthy levels.

She explained: "Banks with considerable bad debt on their books need to be forced to come forward now and put a figure on it.

"For new mortgages lent, we need a more uniform valuing system for those mortgage books, so that they can be sold fairly and for a trustworthy price on the securitisation market."

Her comments follow the publication of the Confederation of British Industry and PricewaterhouseCoopers Financial Services Survey, which indicated that confidence is improving across the sector, alongside improving profitability.