How to help struggling home-owners keep their homes

Yesterday Vince Cable and the Liberal Democrats proposed a series of measures to help tackle the soaring number of repossession:

Vince Cable, the Lib Dem Treasury spokesman, said change was needed urgently to stop the “downward spiral” of Britain’s housing market.

Proposals include a mortgage rescue scheme, which would allow families struggling with repayments to sell all or part of their house to a housing association or private firm and then stay in the property as tenants.

The government should also allow councils and housing associations to borrow money to buy up land and empty new homes “to help replenish Britain’s much-depleted stock of social housing”, the Lib Dems suggest. (The Scotsman)

Read more by .
This entry was posted in News.
Bookmark the web address for this page or use the short url for Twitter and emails.


  • I love Vince.

    He dances around the opposition – just when the orthodox view grows to the point where the two largest parties have reached the same conclusion and accepted reversing their similar interventionist policies in favour of allowing the market to correct itself, up pipes Uncle Vince to shatter the consensus to say that their new policy would have far-reaching effects which would likely create further damage.

    Not only does Vince show both Tory and Labour to be wrong, he shows them to be fools too.

    Surely in the right world they should have seen this coming, but clearly they’ve both taken their eyes off the ball and are looking over their shoulders.

  • David Heigham 28th Aug '08 - 3:22pm


    House prices should fall, are falling and will fall. (Declaration of interest: a mortgaged flat in London is a major asset for me.)

    The problem Vince ia addressing is three part:
    – eviction is bad for family life,
    – there is a clear need for more social housing in many places,
    – left to the market, house prices can be expected to fall more than is necessary or healthy.

    His solution is to buy up houses that would be foreclosed on (at, I assume, valuations subjected to some type of discount or “haircut”) to make up the stock of social housing. That should reduce misery, improve our stock of social capital and smooth a desirable market adjustment; all at a cost of an increase in public borrowing matched by an increase in public assets. Further, it would be administered locally without a lumbering, distorting Whithall mechanism. All good LibDem sense I think.

  • Of course letters from a tory has no idea about anything – he seems to be the Harry Enfield paraody Tory Boy made flesh.

    Heaven alone knows why he wastes his time on Lib Dem Voice. At least some of the other Conservatives can make interesting or relevant points.

  • foreclose the mortgage from a troubled home owner and sell the house in open market. Now buy the house that the home owner can afford from the open market.
    There is no need for home owner to stay in the home that they can’t afford. Lets not reward the people who were speculating and living above their means.

Post a Comment

Lib Dem Voice welcomes comments from everyone but we ask you to be polite, to be on topic and to be who you say you are. You can read our comments policy in full here. Please respect it and all readers of the site.

If you are a member of the party, you can have the Lib Dem Logo appear next to your comments to show this. You must be registered for our forum and can then login on this public site with the same username and password.

Your email is never published. Required fields are marked *

Please complete the name of this site, Liberal Democrat ...?


Recent Comments

  • User AvatarEddie Sammon 2nd Dec - 3:42am
    German cabinet has approved military action in Syria. US, France, Germany, Australia and others. Good reasons plus strong partners, UK should support.
  • User AvatarDavid-1 2nd Dec - 3:27am
    "However, degrading Da’esh’s ability to wage war across the globe has to be the overriding consideration. We also owe it to the people still living...
  • User AvatarManfarang 2nd Dec - 3:15am
    The RAF are already bombing Daesh in Iraq (Years ago the RAF perfected its bombing techniques on the Kurds in this region-nothing like a bit...
  • User AvatarDavid-1 2nd Dec - 3:12am
    'Assad was quite a pall [sic] of the west until recently' No, he is not and he never was. You are probably thinking of someone...
  • User AvatarLorenzo 2nd Dec - 3:11am
    It is not wise to think you have elected a leader to be or do the predictable thing according to previous perceptions .It can and...
  • User AvatarLorenzo 2nd Dec - 2:31am
    We elect people to parliament as first and foremost parliamentarians and never as delegates, and members of a Liberal party above all should respect that....