Buy-to-let lender demands state aid

The chief executive of Paragon has said the government must extend financial support to specialist buy-to-let lenders or the sector will be ‘crippled’. Nigel Terrington said that the rescue package, such as the credit guarantee scheme, is only available to deposit taking institutions. According to research the number of available loan products has been reduced by 95 per cent in the past two years despite demand for private rented property remaining strong. Paragon has lent £10.7 million in the six months to March, compared with £856 million for the same period last year.