Repossessions hit 125 families a day

As repossession proceedings against homeowners in the UK continue to rise, a recent report has shown that in the third quarter of this year the level of repossession in the UK rocketed by 12 percent to 11,300, which equated to around 125 homeowners each day losing their homes after falling behind on repayments.

Many homeowners have been struggling to keep on top of mortgage repayments as a result of increased living costs and bills, although the situation may ease off now that the base interest rate has been reduced to 3 percent, which could see monthly repayments for many homeowners falling and making their finances more manageable.

An official from the Council of Mortgage Lenders stated: ‘Most borrowers who face payment problems successfully keep their home by working with their lender. The Government has taken some helpful steps towards targeted support for some of the most vulnerable households, but with a worsening economy now needs to make it a priority to go further.’

He added: ‘Increased help with housing costs is needed for a wider range of borrowers facing unforeseen repayment difficulties where there would otherwise be little prospect of early improvement. Next week’s Pre-Budget Report should concentrate on making much more assistance with mortgage payments available for people whose income is reduced, as help is currently far too limited.’