§ 16. Mr. Cleggasked the Minister of Housing and Local Government how long the repayment period is for a 90 per cent. mortgage on a £3,500 house originally for 25 years taken out in 1964, where to meet increased interest rates the option has been taken to prolong repayment.
§ Mr. FreesonBuilding societies differ in the periods which they agree to extend repayments as an alternative to increasing them, but they would hardly permit the same monthly payment as in 1964 to continue because that would not be enough to cover current interest.
§ Mr. CleggIs the Minister aware that the effect is that many people who hoped 185 that when they retired they would have no more mortgage payments now have many years of payments in front of them?
§ Mr. FreesonThis is true, but it is not the first time that it has happened in the history of mortgage repayments.