North Wales MS Mark Isherwood has today called for the Welsh Government to support those struggling to pay their mortgage.
Questioning the First Minister in this afternoon’s meeting of the Welsh Parliament, Mr Isherwood referred to the increase in the number of mortgage repossessions in Wales and asked what steps the Welsh Government are taking to address this.
Responding to Mr Isherwood’s initial question “What housing-related support does the Welsh Government provide to homeowners?”, the First Minister blamed “Liz Truss's little venture into an ideological world” for the problems homeowners are facing. In reply, however, Mr Isherwood stressed that after Liz Truss was removed from Number 10, “the markets rebounded, but then a global cost-of-living crisis hit the world and interest rates shot up”.
He added:
“The risk of people struggling with mortgages is growing, with Ministry of Justice data showing an increase in the number of mortgage possession claims coming forward in Quarter 3 in Wales, and a snapshot of Shelter Cymru data from October 2024 showing an increase in cases related to mortgage arrears possession proceedings and mortgage arrears.
“However, although the Welsh Government stated that its ‘Help To Stay Wales’ Shared Equity Loan Mortgage Support Scheme, with £40 million repayable capital funding for 2023/24, could help hundreds of struggling homeowners in Wales, a Welsh Government press release showed that just 5 Help to Stay loans were approved in the first year that the scheme operated.
“Given this strong evidence that something more comprehensive is needed as a response, what steps is your Government taking to address the recent rise in Mortgage possession claims and, what discussions has your Government had about the need for ringfenced funding for mortgage rescue schemes in Wales?”
In her response, the First Minister said that the Help to Stay support, “only started a year ago. These things do take a while to get up and running”, and proceeded to talk instead about a home purchase scheme.
Speaking outside the meeting, Mr Isherwood said:
“The First Minister’s attempt to score party political points off an issue which is devastating lives across Wales was frankly quite shocking. Even after I pointed out to her that the markets rebounded after Liz Truss was removed, and that it was a global cost-of-living crisis which caused interest rates to shoot up, this complacent First Minister dodged what is a serious matter for many existing homeowners and chose instead to talk about a home purchase scheme.”