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Question At Issue:
Whether, exceptionally, a Mortgage Interest Supplement can be awarded for a period of one year notwithstanding the fact that the mortgage interest payable by the appellant exceeds what is considered reasonable to meet his residential and other needs.
Background:
The appellant, having secured
employment in Ireland, moved here with his wife
and two children in 2008. Before he moved, he
had put their house in the UK on the market but
could not sell it even at a reduced price. When
the family arrived in Ireland, they moved into
rented accommodation and the appellant sought
to fund both the rent and mortgage repayments
from his salary. When the house in the UK still
did not sell, he decided to rent it out and
secured a tenant for £850 per month. However,
this left a balance to be paid of £250. The
appellant also bought a house in Ireland for
€340,000, with weekly mortgage interest
payable of €335.00. When the appellant was
made redundant in 2008, he applied for
Jobseeker’s Benefit and for Mortgage Interest
Supplement. He was refused the Mortgage
Interest Supplement on the basis that the
interest per week exceeded the maximum
allowed for his family composition. His appeal
to the Health Services Executive (HSE) against
that decision was disallowed.
Oral Hearing:
The appellant stated that he had
had a very good salary before the recession and
was therefore well able to afford the mortgage
he had secured. He argued that it was
inequitable that he appears not to qualify for any
relief by way of Mortgage Interest Supplement.
He reported that his mortgage was not yet in
arrears as he had arranged with the lender to
take a repayment holiday. He stated also that he had been actively seeking employment
and had attended a third interview for a job and
was very hopeful about his prospects.
Consideration:
The Appeals Officer noted the efforts the appellant had made in order to continue to meet the repayments and, in particular, the fact that he had negotiated a repayment holiday and was actively seeking employment. In the circumstances, the Appeals Officer concluded that a supplement could be awarded on an exceptional basis for a period of one year, notwithstanding the fact that the amount of mortgage interest payable exceeds the appropriate rate for his family composition.
Outcome:
Appeal allowed.
End of Document
