The number of properties taken into possession last year declined by almost 25%, according to new data from the Council of Mortgage Lenders. Last year’s total of 7,700 cases of possession compared with 10,200 in 2015, and was the lowest number since 1982. Over the course of 2016, the number of mortgages in arrears also fell by 7%.  

However, although the data shows a clear underlying downward trend in the number of possessions, some care is needed in making annual comparisons. The timing of some possessions last year may have been affected by a court case that caused lenders to review their processes.

The number of possession cases declined in the fourth quarter of 2016, as well as over the year as a whole. In the final three months of the year, 1,800 properties were taken into possession, down from 1,900 in the preceding quarter and 2,200 in the final quarter of 2015.

At the end of last year, there were 94,100 mortgages with arrears of 2.5% or more of the outstanding balance, a slight increase on the total of 93,300 at the end of the third quarter. But that compared to a total of 101,700 at the end of 2015.