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The Welsh Liberal Democrat Housing Spokesperson, Peter Black has questioned the reasoning behind the tightening of the application criteria for the Welsh Government's mortgage rescue scheme after new figures demonstrated that it will leave many families with no support at all.
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. With it having run out of money, the Deputy Housing Minister found another £2 million for the scheme but introduced new criteria stating that the applicant (or member of the household) must have a disability and their home must have been adapted before they can benefit from it.
Information from the Welsh Assembly Government reveals that there is only one application outstanding and only 16 of the 336 approved applications since 2008 would have met the new criteria leaving open the prospect of a huge underspend on the new money whilst families have their homes repossessed.
"This extra money has been an empty gesture from the Welsh Assembly Government. People with adapted homes may need support, but so do many other struggling families. The new narrow eligibility criteria means that money will be sat unused when families are facing homelessness," said Peter Black.
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