A review of the mortgage market conducted by the Treasury will not include any formal recommendations on how to tackle the problems it faces, it has been claimed.
The working group, led by Sir James Crosby, is expected to publish an interim report which will state that no agreement has been reached with mortgage lenders on how to tackle the situation, reports the Financial Times.
According to the newspaper, the fact that Sir James, former HBOS chief executive, and his colleagues have been unable to draw up any measures will "disappoint" the mortgage industry.
The group will issue its final report this autumn at the time of the chancellor's pre-budget report.
Last week, the Council of Mortgage Lenders, urged the government to do more to stimulate lending between banks .
Michael Coogan, director-general of the body believes that by doing so the supply of mortgages will be greatly increased.
He urged politicians to "break the logjam" that is damaging the mortgage and housing markets .
Working group will disappoint mortgage lenders, report claims
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