Only one household helped by Mortgage Rescue Scheme
The £200m scheme aims to help those at risk of repossession by enabling councils and housing associations to purchase a share in properties under a 'buy-back' rescue deal.
During January and February 284 households applied to take part in the scheme, while in March 168 households applied for the scheme, but just one household in the East of England has been approved.
While 1,104 households approached their local authority to say they were having difficulty repayment difficulties during March, 407 of these were at risk of repossession.
Sarah Teather, Liberal Democrat, shadow housing minister, says: “Tens of thousands of families will face the misery of repossession and homelessness this year but the government's scheme has helped just one household.
"This is an appalling failure by a government that is more interested in headline-grabbing than in helping families through the economic crisis."
The government designed the scheme to help 6,000 people over two years, it was first announced in September last year and was launched on January 15.