Britain sets out fees for "Help to Buy" mortgage scheme

LONDON, Oct 8 (Reuters) - The British government said feesfor lenders participating in its flagship mortgage guaranteescheme would range from 0.28 percent to 0.9 percent of loanvalue, depending on the size of the deposit.

The fees are designed to cover any losses to the taxpayerand to comply with European Union state aid rules.

Under the scheme, the government will guarantee up to 15percent of a mortgage, helping people who in recent years havebeen unable to get on the property ladder because they lack thehigh deposits that lenders require.

The Treasury said the one-off fee for an 80-85 percentloan-to-value mortgage would be 0.28 percent, that for an 85-90percent loan-to-value-mortgage would be 0.46 percent and the feefor a 90-95 percent loan-to-value mortgage would be 0.9 percent.