On 3 December 2008, the Prime Minister announced additional support for homeowners facing financial difficulties through a new homeowners mortgage support scheme.
It became clear that legislative change was required. This was secured on 12 February when the Banking Bill received Royal Assent.
I wrote to lenders detailing the proposed key elements of the scheme in December. This letter is available at:
We are now working urgently with lenders and debt advisers to confirm the final design and implementation details, and to open the scheme for borrowers in spring 2009.