Lunchtime news Friday 9 May 2023

Yesterday the Bank of England kept interest rates on hold at 5 per cent.

The number of homeowners facing repossession action in England and Wales has increased 16 per cent in the first quarter on 2008. The figure, from the Ministry of Justice, covers the number of mortgage repossession claims before the courts, which is the first stage of the repossession process. The number of possession orders issued as a result of claims – which, if implemented, could lead to eviction – was also up 9 per cent in the past quarter.

Ahead of the repossession figures, the government announced details of a plan to help struggling homeowners. A package worth £9 million over three years will provide free legal advice for homeowners facing repossession proceedings, and specialist training for debt advice agencies set up through the National Housing Advice Service. Housing minister Caroline Flint said that the fundamentals of the housing market remain strong, with high employment, low interest rates and long-term demand for homes from first-time buyers.

The number of homeless young people in England and Wales has fallen in the past three years, but not in Scotland or Northern Ireland. The report, by the Joseph Rowntree Foundation, revealed at least 75,000 young people in the UK experienced homelessness in 2006/07, but said that number was likely to be much higher as the figures only count those in contact with homelessness services or agencies. Women are more likely than men to be homeless and the main cause of homelessness was the breakdown of relationships.

Remember Home Information Packs (Hips)? From 1 June, Hips were to be completed before a property was put up for sale. But now the government has to back down and moved the date back to the end of the year. At present, a Hip is only required after the property is put on the market.

And finally, the farmer who built a mock-tudor castle on his land without planning permission and hid it behind haystacks for four years (see Lunchtime news Friday 25 January) has lost his appeal to prevent the home being demolished. After hiding the house behind bales of hay for four years, the farmer claimed no one had filed a planning complaint and he should be allowed to keep it. He has been given 12 months to knock it down.