Safety net to help reduce homes being repossessed (From Daily Echo)

Safety net to help reduce homes being repossessed

10:40am Friday 10th February 2012 in Politics

MINISTERS have unveiled a new package of measures to cut the number of repossessions – as it was revealed that 1,350 Hampshire households faced losing their homes last year.

The government insisted the measures, which will mean an extra £90,000 for Southampton City Council, would be a safety net providing legal advice and short-term loans.

But Labour accused the Government of complacency, saying spending cuts had made repossessions more likely.

Yesterday the Ministry of Justice announced that in the Southampton City Council area, 250 claims were issued in 2011, the first stage of the repossession process, a five per cent increase on the previous year.

Across the wider Hampshire County Council region, which doesn't include Portsmouth, there were 1,100, or 2.07 for every thousand residents.

This compared to Cambridge, the country’s lowest level at 0.78, and at the other end of the scale, Barking and Dagenham at 6.54.

The Preventing Repossessions Fund will pay for free “on the day” advice for people facing losing their homes.

Officials said that in many cases applications for possession orders could be halted at this stage.

Cash will also be given to councils to offer more financial support