Repossessions down 'thanks to government and lenders'

The recent decrease in the number of repossessions was down to a mixture of government initiatives, such as the Pre-Action Protocol, as well as "lots of lenders' forbearance", one property expert has claimed.

Beccy Boden Wilks, debt adviser for the Money Advice Trust, which runs the National Debtline and Business Debtline, said that many lenders have managed to negotiate and agree repayment plans with homeowners experiencing financial difficulties in order for them not to have their houses repossessed.

Her comments come after an announcement by the Financial Services Authority revealed that the number of homes repossessed fell by nine per cent in the second quarter of this year compared to the previous three months.

"According to research from the Building Societies Association, more than half of the people that had managed to come to some sort of an agreement was a result of getting money advice, which is great," stated Ms Boden Wilks.