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George Osborne plans 'to build 200,000 new homes'

George Osborne pictured tonight at Mansion House. Credit: Reuters

The Chancellor George Osborne has tonight set out "radical" planning reforms designed to help build up to 200,000 new homes.

The controversial proposals, announced during his annual Mansion House speech, would see councils forced to pre-approve brownfield sites for housing developments.

Mr Osborne also said it was important that the Bank of England was able to act "independently of politics" and take action by itself with new legal powers, to help fix Britain's housing market.

These were expected to be in put place by the end of next May.

"I want to make sure that the Bank of England has all the weapons it needs to guard against risks in the housing market," the Chancellor said.

"I want to protect those who own homes, protect those who aspire to own a home, and protect the millions who suffer when boom turns to bust."

Ed Balls responds to Chancellor's mortgage plans

Labour's shadow chancellor Ed Balls said:

George Osborne is still failing to tackle the root cause of the housing crisis which is that we are not building enough homes to match rising demand.

Over the last few years Labour has repeatedly called for action on housing supply, but the Chancellor has failed to act.

Under this government housebuilding has reached the lowest peacetime levels since the 1920s.

You can't deal with the cost-of-living crisis and create a strong and balanced recovery without building more homes.

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Osborne: I'm acting to stop risks in the housing market

Chancellor George Osborne says measures unveiled today will help prevent "future risks" to the housing market by letting the Bank of England intervene on the size of mortgages homebuyers can obtain.

Mr Osborne also said action to build more homes would help more people get on the housing ladder.

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TSB plots 50% growth in balance sheet

TSB says it plans to grow its balance sheet by 40%-50% over the next five years.

The bank is aiming to become a larger player in the current account market, growing from 4.2% to 6% during that time.

Chief executive Paul Pester says it has already seen four to five as many people opening accounts every week since the TSB brand was re-launched last September than it had before.

Growth plans will also see TSB mortgages becoming available through brokers again from the start of next year.

'Strong appetite' for TSB shares, says bank's boss

Paul Pester says there will be no dividend until 2017 at the earliest. Credit: Nick Ansell/PA Archive

TSB chief executive Paul Pester says there is "strong appetite" from investors for the flotation of TSB, with optimism in the UK and overseas over the strength of Britain's economic recovery.

Further tranches of TSB will be floated later, with Lloyds obliged to dispose of its remaining interest in the business by the end of 2015.

Details of the pricing of next month's offer have yet to be announced but reports put the book value of TSB at about £1.5 billion.

TSB has 'indemnity' against misconduct claims

TSB is protected against compensation claims by its parent company, the bank's chief executive Paul Pester says.

Misconduct claims for the missale of payment protection insurance (PPI) have cost the industry billions of pounds, according to estimates from the Financial Conduct Authority.

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