Government set to push for three month window of opportunity before repossession
The UK government has today announced plans to push through a three-month window of opportunity to allow those at risk of having their homes repossessed the chance to make amends. This is a very important move and one which appears to have the backing of at least one of the major UK banks. It is highly likely that the rest of the banking community will follow suit in order to be seen to be doing "the right thing".
This is the first real success that the government appears to have had in attempting to ensure the banks adhere to an agreement which was reached with the Treasury some weeks ago. There is some confusion as to whether the agreement was legally binding or just an understanding between the parties although today's movement would appear to indicate something of a more formal nature was in place.
If the government can stem the flow of repossessed homes onto the property market this would in due course reduce the pressure on pricing and hopefully inject a little more confidence into the marketplace. There is still further to go but this is most definitely a step in the right direction.
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