Rapid drop in families facing eviction threat

THE number of families threatened with eviction in Oldham is tumbling.

New figures show 425 repossession claims were issued against families across the borough in the 12 months from October, 2010 to September this year, down nine per cent on the comparable period the year before.

Oldham saw the third-largest fall of the 10 local authorities: claims in Rochdale increased by 15 per cent and 17 per cent in Bury.

The figures do not reveal the actual number of evictions because even after action has been taken, a person can still settle their debts and save their home or reach an agreement with the borrower.

Mortgage lenders now have a duty to inform the local authority as soon as action is being taken against any property in the area so council chiefs can ensure the residents are getting the appropriate help and advice they need.

The Government said over the next two years it is investing more than £200million into the Mortgage Rescue scheme, available through local authorities, to offer a last resort to the most vulnerable families to avoid repossession.

Housing Minster Grant Shapps said: “Owning a home is an aspiration for many people. But just as we are helping people to get on to the property ladder we are also committed to ensuring advice, information and real practical support is available to help ensure that even in tough times people are helped to stay on the property ladder and that repossession remains the last resort.

“Our homes are our havens and with so much at stake it’s easy to see why sometimes people bury their heads in the sand and ignore their mortgage worries. But by tackling the problem early, speaking to their lenders and taking advantage of the free advice and information available from the Directgov website as well as organisations such as Citizens Advice, Shelter and the National Debtline, homeowners can regain control and get in the best possible position to keep their homes.

Nationally repossession claims fell by 5 per cent across England and Wales. Interest rates have remained at a record low of 0.5 per cent for two years as the Bank of England tries to encourage more lending.