Repossessions ‘to hit highest rate since 1991′

The number of repossessions could reach their highest level for more than a decade next year, according to forecasts. The Council of Mortgage lenders predicts the number could rise by 50 per cent from 30,000 this year to 45,000 next year, as homeowners are affected by rising interest rates and the global credit crisis. This would be some way off the dark days of 1991 when repossessions hit 75,000, but it would be the highest level for 13 years. Michael Coogan, the director general of the CML, said: “The housing and mortgage markets are facing their most challenging period since Labour came to power a decade ago.”