The Prime Minister Rishi Sunak has rejected calls for the Government to hepl people struggling with increasing mortgage rates
Speaking on ITV’s Good Morning Britain, the Prime Minister: “I know the anxiety people will have about the mortgage rates, that is why the first priority I set out at the beginning of the year was to halve inflation because that is the best and most important way that we can keep costs and interest rates down for people.
“We’ve got a clear plan to do that, it is delivering, we need to stick to the plan.
“But there is also support available for people. We have the mortgage guarantee scheme for first-time buyers and we have the support for mortgage interest scheme which is there to help people as well.”
Over the weekend resrach by the Resolution Foundation said that with the Bank of England due to raise interest rates, total annual mortgage repayments now on course to rise by £15.8 billion by 2026, and by £2,900 for the average household re-mortgaging next year,
The news comes as the average five-year fixed mortgage rate deal has increased to 5.67 per cent — up from 5.62 per cent on Friday.
This morning saw Short-term government borrowing costs climbing to 5pc for the first time since the global financial crisis
The base interest rate, set by the Bank of England, is 4.5 per cent but looks set to rise to at least 4.75 per cent this week, the highest level since 2008.
