More families risk losing homes

THE number of families in Oldham on the brink of losing their homes has soared by more than 40 per cent, new figures have revealed.

According to the Ministry of Justice, there were 331 mortgage possession orders made at Oldham County Court between October and December, last year, up 41 per cent from the same period in 2007.

Quarterly figures also show a rise from 286 in July to September to the current 331 for the last three-month period.

A mortgage possession order is when a court rules that a home can be repossessed. But the figures do not reveal the actual number of repossessions because even after an order has been made, a person can still settle their debts and save their home and reach an agreement with the lender.

Housing Minister Margaret Beckett said: “We are determined to do everything possible to ensure repossession is always a last resort.

“Our mortgage rescue scheme is up and running, more free legal and debt support is available than ever before, and we have increased financial assistance to help people pay their mortgage if they’ve lost their job.”

In December, Gordon Brown announced families in danger of losing their homes will be able to defer part of their mortgage repayments to give them breathing space through the recession as part of a £1bn rescue package.

The prime minister vowed that no-one genuinely attempting to pay their mortgage need fear repossession. Under an agreement struck with eight major banks, the Government will underwrite up to 100 per cent of interest payments owed to the lender for up to two years.

Ministers said the scheme would be up and running by April.