LIBERAL Democrats in Bury have slammed as ‘totally inadequate’ a government scheme supposed to help families facing the loss of their homes.

The Mortgage Rescue Scheme was announced in November last year by the Government following an alarming rise in the number of people having their homes repossessed by mortgage lenders. But Labour ministers have restricted the scheme to only 6,000 homes across the whole of England.

That means only one in 25 households facing repossession claims in the courts – the first part of a process mortgage lenders have to go through to repossess a home – will get help under the scheme. 713 repossession claims were issued in Bury in 2008, and many more are expected in 2009. But only 29 are likely to have their homes saved under this scheme.

Vic D’Albert, Parliamentary candidate for Bury South said, “The Mortgage Rescue Scheme was launched with a great fanfare by the Government in the autumn. But it is totally inadequate for the tidal wave of repossessions that local residents are facing.

“The idea behind the scheme is something Liberal Democrats have long been pushing – giving councils and housing associations the opportunity to help residents in mortgage arrears by buying a share in the equity of the home, or even buying it outright. The householders would then rent back their home, therefore avoiding eviction.

“But Labour have taken a good idea and then failed to make it a reality. Only 29 families in Bury out of 713 facing repossession will get help. This is totally inadequate. “Labour are behaving like King Canute sitting on the beach hoping they can order the repossession tidal wave to roll back into the sea. At the same time, families are being engulfed in repossession orders and homes are being swept away.

“Repossession is a terrifying reality for too many people in Bury. The Mortgage Rescue Scheme needs to be expanded urgently or else residents will face being thrown onto the streets.This failing Labour Government is failing people in their hour of need”

Vic D’Albert is Lib Dem Parliamentary candidate for Bury South. Keep up to date with all his activities at www.vicdalbert.net