Brown To Help Home Owners

While the number of Northern Ireland homeowners facing repossession orders - after failing to keep up with mortgage payments - is up by more than 30%, there may be help on the way.

Fresh from his 'sales-pitch' for bringing investment and jobs to Northern Ireland at this week's US-NI Investment Conference, the Prime Minister is now planning a scheme to boost home ownership.

However, for some, the move may be too late as the number of writs issued in the Province is now at its highest level for five years.

It emerged today that more than 750 writs have been issued in Northern Ireland during the first quarter of this year, compared with just over 550 for the same period in 2007.

Of these, 200 were possession orders and a further 96 were suspended possession orders.

Against this background, and with repossession orders also increasing in England and Wales, the PM is to use the forthcoming Queen's Speech for an announcement that he is hoping will go some way towards improving things.

Mr Brown plans to extend a shared equity scheme to make home owning more affordable for first-time buyers.

He hopes this will also act as a fillip to a rapidly declining construction sector, and therefore secure jobs in the building industry and the various associated sectors, right across the UK.

He said this is part of a range of UK-wide measures aimed at helping those hit by the now global 'credit crunch'.

While those with mortgages who were hoping for a further cut in borrowing costs were left frustrated after the Bank of England kept interest rates at 5%, the Chancellor, Alistair Darling, and the Housing Minister, Caroline Flint, are also set to announce a new package of measures to support home-owners facing difficulties.

As a result, the Prime Minister is to make affordable housing a centrepiece of the draft Queen's Speech to be unveiled next week.

While this is as part of the efforts to revive some measure of support among Labour voters, who deserted in droves at the local elections, Gordon Brown also aims to extend shared equity schemes after being pressed by some of his allies in the North-East of England.

However, it may be too little, too late for many. Mr Darling has already been forced to announce an additional £9m over three years for debt advice provided by Citizens Advice Bureaux, which are reporting rising numbers of mortgage-payers running into financial trouble.

Ms Flint, the Housing Minister, will also soon announce measures to prevent a rise in repossessions, including expanded access to free legal representation at county courts for householders at risk of having their homes seized by banks or building societies.

(BMcC)