This follows the steep downward trend since the first half of 2008, previously increasing from 2003.
Mortgage possession actions:
- There were 19,329 mortgage possession claims issued in the fourth quarter (October to December) of 2010 on a seasonally adjusted basis, 2% lower than in the fourth quarter of 2009 and 1% higher than in the third quarter of 2010.
- There were 14,847 mortgage possession claims which led to an order being made in the fourth quarter of 2010 on a seasonally adjusted basis, 8% lower than in the fourth quarter of 2009 and 3% higher than in the third quarter of 2010.
- 48% of first orders made in mortgage possession claims were suspended in the fourth quarter of 2010, compared to 46% in the fourth quarter of 2009 and 47% in the third quarter of 2010. This has remained reasonably stable over the last few years after decreasing from 60% in 2003 to 46% in 2007.
- A Mortgage Pre-Action Protocol (MPAP) for possession claims relating to mortgage or home purchase plan arrears came into effect on 19 November 2008. The introduction of the MPAP coincided with a sharp fall in the number of new mortgage repossession claims being issued in the courts.
As orders are typically made (when deemed necessary by a judge) around 8 weeks after claims are issued, the downward impact on the number of mortgage possession claims leading to an order being made was seen in the first quarter of 2009.
More information on the MPAP can be found in the “Recent developments and statistical revisions” section of this bulletin.
- There are various reasons why a claim may not lead to an order for possession being made by the judge; the parties may have resolved the dispute before the hearing takes place, for example through the mortgagee handing back the keys or paying off the mortgage arrears, or the judge may decide not to make an order for possession.
The number of mortgage possession claims leading to an order being made, expressed as a proportion of the total number of mortgage possession claims issued 2 months in arrears (as orders are typically made around 8 weeks after claims are issued) has generally risen between 2004 (when it was 61%) and 2009 before stabilising.
It was 76% in both 2009 and 2010.
- The number of actual repossessions occurring (as reported by the Council of Mortgage Lenders), expressed as a proportion of mortgage possession claims which led to an order being made in the county courts, was 67% in the year ending 30 September 2010, compared with 57% in the year ending 30 September 2009.
This has been on an upward trend from 2004 when it was 18%.
- Across England and Wales, the regions with the highest numbers of mortgage claims and claims leading to orders per 1,000 households (including mortgaged and rented) in the fourth quarter of 2010 were the North East and the North West.
The local authority areas with the highest number of mortgage claims per 1,000 households were:
1. Scarborough (2.04).
2. Corby (1.74).
3. Fenland (1.54).
- The local authority areas with the highest number of mortgage claims leading to an order made per 1,000 households were:
1. Corby (1.52).
2. Merthyr Tydfil (1.46).
3. Tamworth (1.45).
- The region with the lowest number of mortgage claims and claims leading to orders per 1,000 households (including mortgaged and rented) in the fourth quarter of 2010 were the South East and the South West.
The local authority areas with the lowest number of mortgage claims per 1,000 households were:
1. Camden (0.19).
2. Waverley (0.21).
3. South Lakeland (0.22).
- The local authority areas with the lowest number of mortgage claims leading to an order made per 1,000 households were:
1. Camden (0.10).
2. Kensington and Chelsea (0.12).
3. Westminster (0.13).
Landlord possession actions
The numbers of landlord possession claims issued and claims leading to orders made in the county courts of England and Wales have generally been on a downward trend since 2002.
In particular:
- There were 34,443 landlord possession claims issued in the fourth quarter (October to December) of 2010 on a seasonally adjusted basis, 3% higher than in the fourth quarter of 2009 and 1% higher than in the third quarter of 2010.
- There were 22,921 landlord possession claims which led to an order being made in the fourth quarter of 2010 on a seasonally adjusted basis, 2% higher than in the fourth quarter of 2009 and 1% higher than in the third quarter of 2010.
- 44% of first orders made in landlord possession claims were suspended in the fourth quarter of 2010, compared to 49% in the fourth quarter of 2009 and 42% in the third quarter of 2010. This had generally increased from the second quarter of 2007 (41%) to the fourth quarter of 2009 (49%) after decreasing annually from 65% in 1999 to 43% in 2007.
- There are various reasons why a claim may not lead to an order for possession being made by the judge; the parties may have resolved the dispute before the hearing or paper assessment takes place, for example through the tenant handing back the keys or paying off the rental arrears, or the judge may decide not to make an order for possession.
The number of landlord possession claims leading to an order being made, expressed as a proportion of the total number of landlord possession claims issued 2 months in arrears (as orders are typically made around 8 weeks after claims are issued) has remained relatively stable around 66% over the last decade.
It was 68% in 2010 compared to 67% in 2009.
- In the fourth quarter of 2010, 65% of landlord claims and 66% of landlord claims leading to an order being made were brought by social lan
