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First Minister must put action before words on mortgage rescue scheme

July 3, 2010 12:00 AM

Claims by the First Minister that the Mortgage Rescue Scheme has been the most successful in the UK have been challenged following the decision of the Welsh Assembly Government to scale it back and limit the number of people who can apply for help.

The Mortgage Rescue Scheme supports households threatened by repossession by enabling Registered Social Landlords to buy a part or full share in the property. The owner can then remain in their home as a tenant on affordable rent.

Welsh Liberal Democrat Housing Spokesperson, Peter Black, said that the boast, which was made by Carwyn Jones during the One Wales Government celebrations, was essentially correct but that subsequent decisions mean that the many people still needing help to avoid having their home repossessed no longer have this safety net to fall back on.

"The First Minister is right that this mortgage rescue scheme has helped a lot of people stay in their own homes," said Mr. Black. "However, despite the fact that people are still queuing for help it has now effectively been limited to 'those applicants who are disabled and whose homes have been adapted to meet their needs.'

"We all know that the budget deficit is challenging, but this scheme is very effective. A modest £9m budget has been used to good effect. The alternative is to put a greater strain on local authorities, costing more money and potentially putting families out onto the street."

"The First Minister can by all means boast of his successes but in this case he had already pulled support from beneath many needy families just as he was claiming it as a success I hope that now he understands how valuable this scheme is he will revisit the decision to limit it in this way."

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