GOVERNMENT action to offer additional support to families at risk of losing their homes has been welcomed by James Purnell MP.

The Council of Mortgage Lenders estimates that the number of repossessions in 2009 will be 65,000.

Although that’s 10,000 fewer than earlier estimates by the CML, it is still a significant number.

Since last summer the government has funded free on-the-day legal advice and representation for those people facing repossession or eviction hearings in all parts of the UK.

And today Housing Minister John Healey has announced hat the extra funding allocated by the government for this service is to be doubled, to £1.5million.

It’s a move that has been welcomed by Stalybridge and Hyde MP James Purnell.

“The government is determined to support as many people as possible who are facing financial difficulties during these hard times,” said Mr Purnell.

“Losing a home can be devastating. But with proper legal support immediate repossession or eviction can often be avoided.

“This additional investment by the government will offer a lifeline to many more people facing court action.”

In addition to the free legal advice on offer, more than 200,000 families are already receiving help with their mortgage interest or getting free government-funded advice from their local council.

Special schemes have also been implemented to support the most vulnerable, elderly and disabled people who are at risk of having their homes repossessed.

A fund of £20million has been passed on to local authorities to enable them to offer small loans to households to prevent repossession or eviction.

And other schemes currently supporting households include Support for Mortgage Interest (SMI), Homeowners Mortgage Support (HMS) and Mortgage Rescue (MRS).

Following the announcement, John Healey said the support being offered by the government was “real backstop help for those closest to the point of losing their home”.

He said: “I think these figures show that help we’re trying to give families at every step of the way is helping people avoid losing their home.

“But while the risk of repossession remains high and people fear for their homes we will do whatever we can to offer help. So, if your case does get to court you should attend as help will be available.

“Our message is clear – people in difficulty should speak to their lender as we have strengthened protections for homeowners. Lenders can only repossess homes as a last resort. If a solution can be found then seek free independent advice.”

Published Tuesday June 23, 2009.