Repossession orders rise

09 2008
The number of home repossession orders rose in the first quarter of 2008, according to the latest figures.

The Ministry of Justice has revealed that 27,530 orders were made in the first three months of the year, 17 per cent higher than 12 months previous.

It is bad news for anyone with a mortgage and has come about as a result of the global credit crunch.

This has led to mortgage interest rates rising and escalating costs elsewhere mean that many people are struggling to keep up with their mortgage repayments.

With repossession orders rising, many people may decide that renting makes more economical sense than buying a property.

Shadow housing minister Grant Shapps told the BBC that the government had failed to act quickly enough to the growing problem.

"We called on the government to provide greater debt advice more than 18 months ago and in the last three months David Cameron has urged mortgage lenders to warn borrowers when cheap rates were coming to an end," he commented.

"While we welcome the government belatedly getting on board, it is too little, too late and does nothing to help the 27,000 families who have already experienced repossession," continued Mr Shapps.ADNFCR-1219-ID-18586678-ADNFCR

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