The scheme means housing associations will buy properties from people struggling to pay their mortgage and then let those people remain in their homes. The price paid for the property will be determined independently and the previous owners will either pay the association rent or be given a loan from the housing association and remain as owners.
The National Housing Federation and the Council of Mortgage Lenders developed the scheme last year and 80 local authorities already have it in place. The government believes it will save up to 6,000 from repossession.
