Repossession legal help sent to courts

Legal aid schemes are to be expanded in British courts to tackle the growing threat of repossession the Legal Services Commission (LSC) has confirmed.

A further 20 emergency legal aid schemes are to be established county courts, assisting the growing number of homeowners facing the prospect of losing their home.

Figures from the Financial Services Authority (FSA) reveal repossessions grew significantly in late 2007 and early 2008 - with 9,152 new cases in the first quarter of 2008, a rise of over 40 per cent on a year earlier.

The LSC - which runs the legal aid system - funds emergency schemes so homeowners in danger of eviction, or having property repossessed, can get free legal advice and representation on the day of the hearing, regardless of their financial circumstances.

"The credit crunch and rising costs are fuelling a growth in repossessions which is why we are acting fast to commission these emergency court schemes and help more people stay in their homes," said LSC chief executive, Carolyn Regan.

"Homelessness has a devastating effect on people and their families, yet so many people arrive at court without legal help," she added.

Some 174 courts now have 'Housing Possession Court Duty Schemes'.

The LSC had already funded 94 schemes at county courts, aimed at people who have not sought legal advice prior to their hearing. In addition a further 60 courts have schemes funded by the Department for Communities and Local Government (CLG), or other local funding.

"While the rate of repossessions is not on the same scale as the early 90s, we want to ensure that the right support is in place for those who might need it now because of global economic pressures," explained housing minister Caroline Flint.

"That's why we are expanding free legal representation at county courts, which can make a real difference in ensuring that repossession is only ever used as a last resort."

The scheme first ran in 2005, when 12,000 cases were undertaken. By 2006-07 the figure had more than doubled to around 30,000. The latest expansion means even more people will have access to the service in the coming year.

"Court duty scheme advisers do a fantastic job but the more time an adviser has to prepare, the better the chance people have of keeping their homes. Therefore getting early advice is still the best advice," continued Ms Regan.

"If people have housing or money problems they should try and get early advice from a qualified source."

Statistics released tomorrow by the Council of Mortgage Lenders (CML) are expected to show the growth in repossessions is continuing.

Homeowners facing repossession can call the Community Legal Advice helpline, 0845 345 4 345, which can either give advice over the phone, or point callers in the right direction.

Chris O'Toole