Many experts along side the British Property Foundation (BPF) have warned against a potentially dangerous move that could set back the real estate industry throughout the UK should the government move in its favor – the removal of debt relief from many banks offering affordable lending for many individuals that have suffered as of late due to the ongoing economic crisis. Word of this possible shift has caused great concern today with the vote on whether or not to follow through with the plan to cut the relief plan set to go to vote tomorrow (Tuesday) in parliament.

Should the bill pass many lenders anticipate that they would be forced to call in thousands of debt claims in order to maintain solvency, forcing many individuals out of house and home (and in many cases into even worse situations) should they need to follow through with drastic actions in order to stay afloat. This would mean a major blow in particular to those who are currently relying upon debt relief laws in order to maintain a decent (though still troublesome) bad-credit mortgage on their home to cover other debt despite the continued record low mortgage rates offered by many lending institutions throughout the country.

Residential property would not be the only affected, however – in fact, according to recent reports roughly £55 billion in commercial property debt is looking at coming up for refinancing this year in light of many businesses looking to refinance following the recent economic rebound that has occurred over the first half of the year. A change now in financing could potentially mean a major blow to many sectors that are just now beginning to recover, and many eyes are on the upcoming decision to see just how they may fair in the coming months and years financially should the debt relief be removed or even restructured away from its current regulations.