Having returned recently from Brussels, where I met the Polish presidency team involved in this Directive, it is clear that there are a lot of discussions and tradeoffs still to take place.
In the mortgage market, there is obviously a definite fascination with the legislation – particularly with who is saying what, and what areas are currently up for debate.
There are diverse views coming from all quarters on the details of the legislation, how it will be implemented and just how useful it will be.
It is still relatively early days for definite answers and absolute opinions.
However, the latest points getting a great deal of attention are whether or not the Directive is broad enough and whether it is right that Delegated Acts are used to handle sensitive subjects contained in the Directive.
The breadth of the legislation will be an ongoing talking point for a long time to come and is likely to be adapted along the way as and when it becomes obvious that amendments are required or desirable for the sake of the market.
Current feeling from several influential parties seems to be that it should be made to cover much more than it currently does.
However, the issue of Delegated Acts and how widely these are implemented is a particularly hot topic at present.
Many feel that it is inappropriate and irresponsible to allow Delegated Acts in residential mortgage lending legislation and that the details should be debated and decided by the European Parliament rather than delegated to the European Commission.
Delegated Acts were introduced in the Lisbon Treaty over 18 months ago, but it is clear that a number of member states are still unclear and indeed uncomfortable with their use.
Until the details still under discussion are confirmed, it is unclear just how things will affect the UK market.
As Gary Bailey of Belmain Group said in a blog entry here just last week, whatever the outcome, it is vital that the UK market works together to tackle any negative effects of the legislation, by embracing the positives.
Legislation such as the EU Mortgage Lending Directive is put in place to protect the consumer, but must be made to work with and not against the lender.
I will continue, like many, to watch with interest as the debates develop and hope to see that sense prevails and that this balance is achieved.
Neil Munroe is director of external affairs at Equifax
