Barnet (Parliament Politics Magazine) – Barnet saw 190 mortgage repossession claims in the year to September, highlighting a rise in homeowners at risk of losing their properties, new data reveals.
It comes with an increase in the number of households in England and Wales that are seeking government assistance for their mortgage repayments.
Is rising mortgage debt putting more Barnet homeowners at risk?
With mortgage payments rising in recent years, a charity cautioned that the increase in mortgage arrears was “alarming.”
According to recent data from the Ministry of Justice, 190 repossession claims were filed in Barnet in the September period, up from 136 in 2022–2023.
In the meantime, 21,440 repossession claims were filed in England and Wales, the most since 2019 and an increase from 15,377 the previous year.
The number of households receiving financial assistance through the Support for Mortgage Interest scheme has increased, according to separate data from the Department for Work and Pensions.
How is the government’s SMI program helping London homeowners?
A government program called the SMI is accessible to mortgaged households with at least one person receiving specific benefits.
In London, 1,574 households received financial assistance to pay their mortgage in the three months ending in August, the most recent period for which statistics are available.
Compared to the same period last year, when there were 1,423, this represented an 11% increase.
13,090 households in England and Wales were getting support, the most since 2021 and a 15% increase from the previous year.
The typical client’s mortgage arrears have tripled over the past five years, from £2,977 in 2019 to £8,986 in 2024, according to debt reduction organization StepChange.
Simon Trevethick said:
“As headline stats around inflation and interest rates have been steadily decreasing over the past couple of years, much of the attention has turned away from the cost-of-living pressures people face.
But across the country, rising mortgage arrears and an increased risk of repossession activity is alarming and is something we have seen replicated in our client data”
He added: “For anyone struggling with ongoing mortgage payments or worried about debt – don’t hesitate to reach out to your creditors and ask for help.”
A Government spokesperson said: “No person should be in poverty. That’s why the Support for Mortgage Interest scheme is available. We’ve extended the Household Support Fund again and are giving an extra £233 million to councils directly for homelessness, including the largest-ever investment in prevention services, taking the total to nearly £1 billion for 2025-26.
SMI enables people to stay in their homes without fear of repossession by contributing towards the interest on their mortgages, but we’d encourage anyone struggling with their mortgage to speak to their lender as soon as possible about support.”