The published number of repossessions of houses by lenders is inaccurate because it doesn’t include repossessions by second charge lenders, say housing charity Shelter. (The Times).

The figures are published by the Council of Mortgage Lenders (CML) who say that the number will increase by 50% on last year’s figure of 271000, many for arrears of a few thousand pounds as UK lenders try to claw back losses made from imprudent investment in the US sub-prime mortgage market. One lender, Northern Rock, now owned by the government, set up a separate company to profit from the sale of borrowers’ homes it repossessed.

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