LAST UPDATED: 19TH MARCH 2020 AT 15:00PM
On 17th and 18th March 2020, support was announced to homeowners, renters and landlords who may be impacted by Coronavirus
- No one who has been impacted by coronavirus should have to worry about getting back on their feet –including homeowners, renters and landlords.
- We have announced a package of measures to help these people. No homeowner in difficulty due to coronavirus will have to worry about their mortgage. No renter who has lost income due to coronavirus will be forced out of their home, nor will any landlord face unmanageable debts.
- These changes will protect all renters and private landlords ensuring everyone gets the support they need at this very difficult time
- Introducing emergency legislation to protect renters, so that no one gets evicted if they cannot pay their rent. Emergency legislation will be taken forward as an urgent priority so that landlords will not be able to start proceedings to evict tenants for at least a three-month period. As a result of these measures, no rentersin private or social accommodation needs to be concerned about the threat of eviction.
- Introducing a three month mortgage holiday for those in difficulty due to coronavirus –so that people will not have to pay a penny towardstheir mortgage while they get back on their feet.And in the coming days, we will go much further to support people’s financial security. We will work with trade unions and businesses to develop new forms of employment support to help protect people’s jobs and incomes through this period.
- Extending the three month mortgage holiday to landlords whose tenants are experiencing financial difficulty due to coronavirus. This will alleviate the pressure on landlords, who will be concerned about meeting mortgage payments themselves, and will mean no unnecessary pressure is put on their tenants as a result. At the end of this period, landlords and tenants will be expected to work together to establish an affordable repayment plan, taking into account tenants’ individual circumstances.
If you are experiencing financial difficulties meeting your mortgage repayments because of COVID-19, you may be entitled to a mortgage or rental holiday for 3 months. This includes if you are a landlord whose tenants are experiencing financial difficulties because of COVID-19. If you are a tenant experiencing financial difficulties because of COVID-19, the government will ensure you do not face the threat of eviction for at least 3 months:
- The government has agreed with mortgage lenders that they will offer repayment holidays of 3 months to households in financial difficulty due to COVID-19.
- This will also apply to landlords whose tenants are experiencing financial difficulties because of COVID-19.
- The offer of a payment holiday can be made available to customers who are up to date with payments and not already in arrears.
- Customers who are concerned about their current financial situation should contact their lender at the earliest possible opportunity to discuss if this is a suitable option for them.
- Emergency legislation will be taken forward so that landlords will not be able to start proceedings to evict tenants for at least a 3 month period. This applies to private and social renters.
- At the end of this period, landlords and tenants will be expected to work together to establish an affordable repayment plan, taking into account tenantsâ€™ individual circumstances.
If you are experiencing difficulties paying back personal loans or credit card bills as a result of COVID-19, you should read the following information:
- The Financial Conduct Authority (FCA) called on lenders to use flexibility built into their rules to support consumers, taking into account customersâ€™ individual circumstances. Many major lenders have already made statements to this effect.
- If you are experiencing difficulties paying back loans or credit card bills because of COVID-19, you should talk to your lender.
- If you agree a payment holiday with your lender, they should record these in such a way that will not impact on your credit score.