Thursday, 29 March 2012
GLC's Principal Solicitor Mike Dailly said:
"The Mortgage to Rent Scheme has been a great Scottish success story where demand massively outstrips supply. Often it is the only safety net for vulnerable homeowners facing repossession and homelessness, and without access to it, we are deeply concerned that many Scots are going to become homeless needlessly. Homelessness is a traumatic and terrifying prospect for families, and we should be extending this fantastic scheme in these tough times not cutting it. We hope the Scottish Government will think again on this cut".
"The Scottish Government had made access to the scheme much harder by tightening the eligibility rules in March 2009 and from next month those rules will be tightened once again - especially for bankrupt applicants. Govan Law Centre believes the Home Owner Support Fund is a huge Scottish success story which enables families to keep their homes by becoming a tenant instead of an owner. The scheme needs to be made more available to vulnerable Scots as a core part of Scotland's prevention of homelessness and housing policy and strategy. It is tried and tested. It works".
"Cutting the scheme's funding by almost 50% is the equivalent of taking a life ring from a drowning man or women".
The Mortgage to Rent (now part of the HOSF) scheme was introduced in Scotland in February 2003: http://www.scotland.gov.uk/Resource/Doc/254517/0075356.pdf
The equivalent Mortgage Rescue Scheme was introduced in June 2008 in Wales and January 2009 in England: http://www.housingrepossessions.co.uk/mortgage-rescue-scheme.html
Details of the HOSF are available here: www.scotland.gov.uk/hosf
Thursday, 22 March 2012
Some of these arguments (but not all) are scheduled to be tested in the cases of Reid v. Clydesdale Bank plc, and Sharp v. Bank of Scotland plc.
A debate will take at Glasgow Sheriff Court on 2 April 2012 in the case of Reid v. Clydesdale Bank plc, with GLC's Mike Dailly appearing for the pursuer, and Clydesdale's in-house legal team and counsel appearing for the defender.
The case of Sharp v. Bank of Scotland awaits a fresh hearing date.