Legal aid for those in mortgage arrears finally here

6 July 2016

Stock Image - House Keychain (Mortgages/Housing)

Legal rights group FLAC has welcomed the new legal support scheme for those in mortgage debt announced by Minister for Justice & Equality Frances Fitzgerald TD.  The scheme, first announced in January 2016, will be run through the Money Advice & Budgeting Service with the Legal Aid Board supplying an external panel of solicitors.

FLAC has long campaigned for the state to provide legal assistance for those in mortgage arrears and said this scheme goes some way towards addressing the gap in legal supports. According to FLAC Legal & Policy Officer Ciaran Finlay, “the planned information campaign around this scheme is a crucial element in the overall rollout. Anecdotally, we are hearing that the rate of appearance of defendant borrowers at repossession proceedings is very low, possibly as low as 10% of those being called to court. It is vital that those in mortgage arrears or at risk of repossession are aware of the new supports which are available.

“Equally, the fact that there is no means test for applicants accessing the solicitor consultation service and the duty solicitor service means the new scheme avoids the pitfalls of the general civil legal aid scheme in excluding many people very much in need of help but who do not meet the strict income criteria,” Mr Finlay commented.

However the organisation pointed out that it is not yet clear whether those who are not yet at the repossession stage will qualify for legal assistance from the state, even where an early intervention may increase that person’s chances of maintaining the family home and they cannot by themselves make a legal defence.

Further, FLAC Senior Policy Analyst Paul Joyce queried the end goal of the measure, when even with the support of a lawyer and a reasonable proposal to repay their debt, people facing repossession proceedings who do not have a legal defence to the claim ultimately have the odds stacked against them if their lender is determined to recover property.

“Right now, if the lender rejects the borrower’s repayment proposal, the Circuit Court County Registrar can only delay granting a Possession Order to allow some breathing space, usually through a series of adjournments. In our view, if the County Registrar believes the borrower is making a reasonable and sustainable proposal, he or she should be given the power to dismiss the application for a Possession Order,” said Mr Joyce.

FLAC also said that the Legal Aid Board must receive adequate additional funding to ensure that it can meet increased demands rather than eat into its existing service budget. In many of its centres the Board has considerable waiting lists for the public to access its solicitors.


Editors’ notes:

  1. FLAC (Free Legal Advice Centres) is a human rights organisation which exists to promote equal access to justice for all. As an NGO, FLAC relies on a combination of statutory funding, contributions from the legal professions and donations from individuals and grant-making foundations to support its work.
  2. FLAC offers basic legal information through its telephone information line (1890 350 250) and free legal advice through its network of 80 volunteer evening advice centres – more at  It also campaigns on a range of issues including consumer credit, personal debt, fairness in social welfare law, public interest law and civil legal aid. FLAC has issued numerous analyses and policy statements calling for a fairer mortgage arrears resolution process.
  3. SI 272 of 2016 provides for the introduction of the scheme as ‘Civil Legal Aid Regulations 2016’ and is available at
  4. Minister Fitzgerald answered a PQ on the new scheme from Deputy Pearse Doherty in May: