Manchester City Council are to investigate the idea of paying homeowners' "cashback" in an attempt to help them through the credit crunch and ultimately avoid repossession. Each household could be given £50 each to help through the recession. Many people in the UK are currently stuggling with mortgage repayments and with tnis extra money coupled with other government initiatives to help people with repossessed homes, this could ultimately help in stopping their home from being repossessed at a time when every penny counts.
This decision has come as local authorities throughout the UK are drawing up measures to stop unemployment soaring and stop businesses from going under.
This "cashback" initiative would mean that every household in the city would receive a cheque or get a one month reduction in council tax bills. The scheme was initially proposed by the Lib Dems and subsequently, the Labour government agreed to investigate the idea further. A report into the feasibility and cost-effectiveness will be drawn up next week.
A similar scheme was tested in London, but proved to be too expensive, and with 200,000 households in Manchester, the total amount of cashback paid could be £10 million. Would it not be better to spend this amount on a project which would benefit the whole community.
No comments:
Post a Comment