SMI to become a loan

[noddyholder]

It seems the Tories are planning to recoup any interest thy pay for mortgages of the unemployed by having a charge on the house at a nominal rate?

I can see the sense in that if it means that people get help quicker. The present system is not fit for purpose and often people get repossessed before they get any help. Also the current scheme only pays interest and many mortgage lenders expect repayment of the loan. Understandably the goverment is not prepared to pay for people's houses.

I suppose that housing benefit for the unemployed may turn into a loan as well. I have hideous feeling that this is the thin edge of the wedge when job seekers allowance will be replaced with a loan.

When you say "planning" what exactly do you mean?

Often these "plans" are nothing more than a single MP speaking his/her personal opinion or a committee/think tank kicking around ideas that will never see the light of day.

I'm not sure why that's a bad thing? Seems fair enough to me if the charge is proportionate.

If benefits were loans it would be vitally important not to ever get a job.

That sounds like one of those ideas an MP had on the way into work.