Three-year mortgage warning issued to millions of homeowners as interest rates 'heighten risks'
manchestereveningnews.co.ukA three-year warning has been issued to millions of homeowners as mortgage costs are expected to rise once again. Almost five million UK households are set to see their mortgage repayments jump by hundreds of pounds over the next three years, the Bank of England has said.
It comes as around half of mortgage holders have moved to a new fixed-rate deal since interest rates started rising in late 2021, and they are now due to face higher borrowing costs of up to £500 by the end of 2026.
The Bank's Financial Policy Committee (FPC) says rising interest rates have 'heightened risks' in the global financial markets.
The FPC also found British banks are strong enough to support households and businesses, even if economic conditions get worse. READ MORE: Man forced to demolish 'monster mansion' after three-year neighbour row READ MORE: The 'ordinary' terraced house turned 'oasis' that won House of the Year 2023 Bank of England policymakers have increased interest rates steadily for nearly two years, with rates currently standing at 5.25 percent.
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