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MP pledges support for repossessed tenants

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A Labour MP has vowed to amend the Financial Services Bill after it failed to include protection for tenants whose properties are repossessed due to failing buy-to-let landlords.

Rob Marris, MP for Wolverhampton South West, believes current laws create a strong injustice for loyal tenants and has called for a meeting with Treasury ministers and local governments to address the issue.

Ministers claim they are in support of the change but such ideas were not included in the Financial Services Bill. If the government fails to update current laws, Mr Marris has promised to file an amendment in support of tenants.

“I’m most disappointed that this Bill doesn’t contain provisions to protect tenants of buy-to-let landlords who default on their mortgage,” said Mr Marris.

“I shall work with other MPs and organisations such as Shelter, Crisis and the Council of Mortgage Lenders to remedy this omission. I’m seeking an early meeting with the Treasury Minister Paul Myners and the Housing Minister John Healey.”

New research by housing and homelessness charity, Shelter, revealed that more than 20,000 landlords had their properties repossessed during tough economic conditions over the past two years.

And, under current laws, people in rented accommodation can be given just a few days’ notice that they are going to lose their home if it is being repossessed by their landlord’s mortgage lender, even if fully up-to-date on their rental payments.

Leslie Morphy, Chief Executive of homelessness charity, Crisis, said: “The government has repeatedly pledged to act on this issue, yet it has failed to show the required leadership to introduce the short and simple legislation that is needed.”

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Written by Andrew Hodges

December 16, 2009 at 8:43 pm

Posted in Comment, LinkedIn

Tagged with , , ,

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