EU Must Consider Sharia Compliant Mortgages

1.24.29pm UTC (GMT +0000) Tue 14th Nov 2006

Sharon with her Lib Dem colleague Saj Karim (MEP for the North West)

The European Parliament today voiced its opinion on the direction of future EU mortgage policy. Sharon Bowles South East MEP, Liberal Democratic Spokesperson for Economic and Monetary Affairs, introduced an amendment to the report insisting that any EU rules take account of sharia compliant mortgages.

Mrs Bowles said.

"Islamic banking is a fast growing market and is proving to be very successful in the UK. It has given British Muslims the opportunity to take on many financial products including Islamic mortgages which previously were inaccessible. This success and future growth must not be compromised".

Saj Karim MEP added:

"It is essential the EU provides an appropriate climate, not only for EU citizens and residents to carry out financial dealings in a manner in which they are comfortable, but that also ensures the widest possible choice is available to consumers. This will be a real asset for attracting foreign investment and, hopefully, will foster the creation of a whole new approach to our financial model."

ENDS

Notes

Until 2002 only the United Bank of Kuwait offered Islamic mortgages in the UK. By the end of last year there were five including High Street names such as HSBC and Lloyds TSB. Only last month the Islamic Finance Qualification was announced by the UK Securities and Investment Institute which is to be offered to financial advisers to better aid Muslim clients

The text of Mrs Bowles is as follows:

"9. Calls on the Commission to consider the growing market of mortgages compliant with sharia law, and to ensure that any legislation does not exclude the requirements of this market."