Repossessions up 17% in Q1

The number of new repossessions in the first quarter increased 17 per cent from 8,246 in the fourth quarter of 2010 to 9,613 in the first quarter of 2011.

According to new data from the FSA, the number of new arrears cases in Q1 was 35,600, 8 per cent lower than Q4 2010 and 12 per cent lower than the 40,500 new cases in Q1 2010.

The total number of accounts in arrears at the end of the quarter was 337,040, 2 per cent down on 343,459 in the previous quarter and 7 per cent down on 361,750 in Q1 2010.

The proportion of residential loans in arrears fell from 2.95 per cent to 2.88 per cent.

The total value of outstanding loans remained roughly the same at £1.2tr in Q1.

New advances in the quarter totalled £33bn, 10 per cent lower than £36.8bn in Q4 but 3 per cent up on the £32bn advanced in Q1 2010.

Lending for house purchase accounted for 54 per cent of new advances and 52 per cent of new commitments.