Mortgage holiday: Citizens Advice respond to extension news – further changes called for

The charity went on to call on the government to provide additional protections for renters who are vulnerable during this period of time.

Specifically, they called for:

• Accelerating the process to end section 21 “no fault” evictions
• Putting in place temporary changes allowing the courts more discretion for tenants in arrears because of coronavirus
• An implementation of a “pre-action protocol” of steps that landlords must follow before they can bring possession proceedings.

“We strongly support firm’s signposting all negatively affected customers to debt advice: charities like StepChange can help people think through their whole financial situation, not just their mortgage.

“The mortgage extension does beg the question about whether similar interventions will be forthcoming from the Government to protect tenants in a similar way.

“The FCA cites ‘keeping a roof over people’s heads during a public health crisis’ as part of its rationale for intervention, and this applies as much in the rented sector as to the mortgage sector.”

Father insight on these type of issues may be forthcoming in the coming days.

The FCA detailed that they would be taking comments and questions on the extension rules following the announcement, with this consultation period scheduled to end today.

They detailed that following this period, further details and clarifications would be provided.