FINNIE DEMANDS MEETING WITH STURGEON TO RESOLVE REPOSSESSION ISSUE

Written by Ross Finnie on Tue 4th Nov 2008

FINNIE DEMANDS MEETING WITH STURGEON TO RESOLVE REPOSSESSION ISSUE

Liberal Democrat Housing spokesperson Ross Finnie MSP has written to the Health and Wellbeing Secretary demanding a meeting to convince the Government that action is necessary to protect Scottish homeowners against repossession.

Mr Finnie is concerned that homeowners in Scotland, who might be the subject of a repossession order, are not to be given the additional protection that the UK Government recently announced for homeowners in England.

In his letter, Mr Finnie criticised the Government for relying on lenders to prop up its position.

Commenting, Mr Finnie said:

"The Government's lax attitude to protecting Scottish homeowners against the threat of repossession is extremely disappointing. At a time when repossession rates are climbing it's no wonder that the SNP's position has been criticised by experts.

"I was astonished to hear a Government Minister resorting to using the Council of Mortgage Lenders to justify the SNP's lack of action on this issue. It's unsurprising that organisations representing lenders believe borrowers are adequately protected.

"I have written to the Cabinet Secretary today urging her to meet with me and Mike Dailly from Govan Law Centre to see first-hand the difficulties facing many homeowners in Scotland. Perhaps this will convince her that action is necessary."

Ends.

Notes to Editors:

In his letter, Mr Finnie wrote:

I am extremely concerned that homeowners in Scotland, who might be the subject of a repossession order, are not to be given the additional protection that the UK Government recently announced for homeowners in England.

The SNP Government's position, as expressly stated by Stewart Maxwell and yourself, is that there is no requirement in Scots law for a provision equivalent to the Pre-Action Protocol to be introduced in England. This is based on the grounds that the protocol reflects the requirements which already apply to lenders in terms of mortgage conduct of business rule 13, which applies throughout the UK.

I believe that your Government has mis-directed itself in this matter, having failed to read the Pre- Action Protocol in conjunction with the English Civil Procedure Rules and the Practice Direction Protocol. I am supported in this view by a number of practitioners in this field in particular, Mike Dailly, Principal Solicitor of the Govan Law Centre.

I was also astonished to hear your junior Minister, Stewart Maxwell, in response to an oral question last Thursday, quoting the Council of Mortgage Lenders in defence of your Government's position. I say astonished because I am interested in affording borrowers the maximum protection and it is unsurprising that organisations representing lenders believe borrowers are adequately protected.

I am anxious to secure an early resolution to this disagreement of interpretation, which has profound consequences for those being pursued for repossession. I would, therefore, be grateful if you would agree to an early meeting with me and, if you believed it would help also with Mike Dailly, Principal Solicitor for the Govan Law Centre.

Mike Dailly has offered to host the meeting in his office where he could show you cases that illustrate why the current position needs to be strengthened.

I look forward to a positive response.

Yours sincerely,

Ross Finnie MSP