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Williams highlights section 106 mortgage problems - Mark Williams MP

November 6, 2009 9:34 AM

Speaking in a Westminster debate, Ceredigion's Welsh Liberal Democrat MPMark Williams yesterday highlighted the difficulties in securingmortgages for properties with Section 106 agreements in place.

Section 106 agreements, planning agreements that allow local authoritiesto set conditions that can make properties more affordable, are beingused by Ceredigion County Council, but some lenders refuse to offermortgages when they are in place as they are too restrictive.

In the debate Mark Williams urged the Government to work with lenders toensure that mortgages are offered for Section 106 properties.

Commenting, Mark Williams said:

"It is extremely important that affordable housing assistance doesn'tfail because of a lack of mortgage support.

"Several constituents and local developers have approached me withconcerns about how the system is working, and I was pleased to be ableto raise this issue with the Government.

"It is absurd that offers have been withdrawn by some lenders becausethey refuse to lend on section 106 properties, and the Government needto address this situation as soon as possible.

"The availability of affordable housing is essential to the survival ofour communities, and it is very disappointing to see measures to addressthis problem blunted by banks, which let's not forget have been givenhuge financial support by the taxpayer."