David Simpson – 2014 Parliamentary Question to the Department for Communities and Local Government

The below Parliamentary question was asked by David Simpson on 2014-06-05.

To ask the Secretary of State for Communities and Local Government, what steps his Department is taking to assist homeowners facing problems paying their mortgages and to provide practical advice and support.

Kris Hopkins

The Council of Mortgage Lenders reported 28,900 repossessions in 2013, down from 33,900 in 2012 and the lowest level since 2007. It has revised down its forecasts for 2014 to 28,000. The Government is not complacent, but believes this fall in repossessions is a consequence of improved arrears management by lenders and action the Coalition Government has taken to tackle the deficit and keep interest rates down.

Homeowners struggling with mortgage payments should take action as soon as possible by discussing their situation with their lender or contacting money advice experts such as Citizens Advice, Shelter, StepChange or National Debtline for free and independent advice on taking control of their finances.

Government support is available in the form of Support for Mortgage Interest, paid as part of DWP benefits to help eligible out-of-work households meet their monthly mortgage interest payments. The Budget in March this year extended the enhancements to the Support for Mortgage Interest scheme (a shortened 13 week waiting period and an increased capital limit of £200,000), until 31 March 2016.

Within England the Government continues to ensure the provision of free on-the-day legal advice (the Housing Possession Court Duty Scheme) to assist households at possession hearings. We are providing £470 million of funding in the current Spending Review period to prevent and tackle homelessness and repossessions.