Repossession of homes could be set to soar unless radical action is taken, according to a leading housing charity.
Shelter Scotland Director Graeme Brown will back Scottish Government proposals to support struggling home-owners at a conference today.
Sheriff Court figures show a 20% rise in mortgage actions taken to court in 2008-09 and a 50% rise in decrees granted in the past year in Scotland.
The charity say that with so many people running into financial trouble when interest rates have never been lower – the problem is set to be exacerbated when they begin to rise again.
Speaking ahead of the conference, Mr Brown said: "The action the Scottish Government has taken to offer additional protection to homeowners has been timely, especially with Scotland's flagship commitment to give everyone the right to a home by 2012 growing ever closer.
"It is right to scrutinise the proposals carefully. But the industry must not let that drift into carping about unnecessary regulation. Lenders grumbling that measures are excessive are as guilty of misreading the public mood as MPs complaining about tighter regulation of expenses.
"Radical action is needed at a time when more families than ever are losing their homes.á Without that repossessions are set to soar.
"But improved safety nets at a time of recession, is only one part of the picture. We need to see this as a wake-up call and not just about picking up the debris of yet another housing market crash. As first time buyer numbers plummet protections for homeowners must be matched by protections for tenants.
"Unless we get a better balance in the housing market we are already sowing the seeds of the next boom and bust cycle."
The conference provides the first major opportunity to discuss the recommendations of the Scottish Government's Repossessions Working Group published earlier this year and to hear about the Home Owner and Debtor Protection Bill on mortgage repossessions which has now started to go through the Scottish Parliament.
Last updated: 02 November 2009, 14:31
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