LiveMore calls for greater support for mortgage prisoners following Parliamentary reportĀ 

LiveMore has expressed support for mortgage prisoners – individuals trapped in high-cost home loans – and called on the industry to take action.Ā 

This followed the release of a 358-page report by the All Party Parliamentary Group (APPG), which criticised the Financial Conduct Authority’s (FCA) handling of issues affecting these borrowers.Ā 

Leon Diamond (pictured), CEO of LiveMore, said: ā€œAs hard-hitting as the APPG report is, it is a stern reminder to the industry of how serious this issue is for thousands of mortgage prisoners across the UK.

ā€œIn accordance with our social bond principles to progress social sustainability, we consider it our responsibility to protect consumers from financial stress and support them in what we believe is their fundamental right to live in their own home ā€“ especially as they get older.

ā€œIt is incomprehensible that more than 200,000 mortgage prisoners in the UK remain in this extremely difficult position.

ā€œThe report refers to financial stress, threat of repossession and goes way beyond financial losses to include physical and emotional health issues and, most tragically, suicide.”

Diamond added: ā€œWe are here to help the proportion of people in their 50s, 60s and even 90s plus who believe themselves to be mortgage prisoners because they believe that they simply canā€™t get a mortgage or remortgage after the age of 50 – and so are automatically transferred onto higher standard variable rates.

ā€œThe main problem for mortgage prisoners ā€“ especially if theyā€™re older ā€“ is that they donā€™t meet lendersā€™ affordability criteria. 

ā€œIt is fundamentally important that consumers understand that there are lenders out there who are willing to be more flexible and carry out a modified affordability assessment.

ā€œFor too long, the over-50s have been let down by lenders.

“Consumer Duty has very firmly shifted the onus of a ā€˜good outcomeā€™ onto financial services providers.

“It is our responsibility to help out mortgage prisoners in any way we can.Ā 

ā€œA large percentage of our customers are at term-end, many of whom considered themselves to be mortgage prisoners.”

Diamond said: ā€œWe are committed to providing financial solutions that enable older borrowers to access the funding they need so they can achieve their life goals – or even just improve their standard of living.

ā€œWe are equally committed to helping brokers support borrowers who have reached the end of their mortgage term and are seemingly stuck on a high SVR. 

ā€œBrokers can use the LiveMore Mortgage MatcherĀ®, our digital tool that works in conjunction with our affordability calculator, to identify suitable products for clients based on their individual circumstances.ā€

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