Mortgages: Government Assistance

Mr. Dai Davies
To ask the Secretary of State for Communities and Local Government if she will bring forward proposals to provide compensation for single property mortgage holders who are in negative equity.

Margaret Beckett
Government are working actively with key stakeholders to provide support to homeowners during this period of unprecedented market turmoil. There are no plans to provide compensation for households experiencing negative equity. However, Government are already taking action to provide support for households affected by current market conditions through a mortgage rescue scheme targeted at the most vulnerable households, expanded provision of debt advice and increased support for homeowners who lose their jobs. Government continue to explore options to provide additional support.