The Government should give struggling mortgage borrowers more help to avoid repossession by keeping some temporary benefit arrangements in place for at least another year, lenders have urged.
The squeeze on availability of interest-only mortgages continued today when a major lender announced plans to withdraw its range of products for new customers.
Borrowers left with sky-high mortgage rates because they cannot switch home loan need extra protection to avoid potentially crippling bills, according to an advisory group.
A wide-ranging shake-up of the mortgage market was unveiled by the financial services regulator today, aiming to prevent a return of irresponsible lending and stop borrowers taking out unaffordable deals.