Rise in Mortgage Possession Claims in North Somerset: A Growing Concern

The latest figures from the Ministry of Justice have revealed a worrying trend in North Somerset, where mortgage-holders are at risk of losing their homes. In the year to March, 49 mortgage possession claims were made, with six resulting in repossession by a bailiff. This marks a significant increase from the previous year, where 29 claims were made, leading to 11 homes being repossessed.

Mortgage possession claims on the rise in North Somerset

The cost-of-living crisis and high mortgage costs are being blamed for the increase, with many people struggling to make ends meet. A charity has warned that the situation is putting people in danger of becoming homeless.

The figures show that renters are also suffering, with a 6% increase in landlord claims over the same period across the country. In North Somerset, landlords made 176 claims, with 51 resulting in repossession. This was down from the previous year, when there were 198 claims.

“We are concerned about the number of people who are at risk of becoming homeless.” - Law Society president Nick Emmerson

The Law Society has expressed concern about the situation, highlighting the importance of legal aid for those struggling to pay their rent or mortgage. However, with many law firms no longer offering advice, this support is becoming increasingly out of reach.

Prioritizing rent and mortgage payments is crucial

StepChange, a charity that offers advice and support for those in arrears with their mortgage or rent, has emphasized the importance of prioritizing rent and mortgage payments. Policy manager Jonathan Chesterman said, “Rent or mortgage payments are priority bills, so if you are in arrears with these payments, they should always be addressed before any consumer credit debt.”

The charity has also stressed the importance of communicating with lenders or landlords as early as possible if payments are at risk of falling behind. Mortgage lenders have a regulatory responsibility to treat borrowers fairly, offering support and forbearance for people who are in difficulty.

A Treasury spokesperson has acknowledged the struggle many people are facing, saying, “While it is welcome news that we have met the pledge to halve inflation, we know many people are continuing to struggle.”

The Mortgage Charter offers support and protections for borrowers

The government has pointed to the Mortgage Charter, which provides flexibilities to make it easier to manage monthly repayments and gives extra protections against repossessions. However, with interest rates remaining high, many are still struggling to make ends meet.

The situation in North Somerset is a stark reminder of the need for support and guidance for those struggling with their mortgage or rent payments. As the cost-of-living crisis continues to bite, it is essential that we prioritize the needs of those most vulnerable.