Millions of Brits to see annual mortgage payments rise by £5,100 by 2024
Millions of households will see their annual mortgage payments by as much as £5,100 over the next two years, according to one of the country’s top think thanks.
More than five million families are set to be hit by spiralling mortgage costs by 2024, new analysis by the Resolution Foundation revealed, nearly one-fifth of all households in Britain.
The average household – including those protected by fixed rate mortgages – will see their annual payments rise by £3,500 between now and the end of 2024.
The rise, partly driven by expectations of higher interest rate rises since September’s controversial mini-budget, represents £26bn drawn out of household budgets and into mortgage repayments in the next 24-months.
“Households across Britain are currently living through an inflation-driven cost-of-living crisis as pay packets shrink and energy bills rise,” research director at the Foundation, Lindsay Judge, said.
“With almost half of all mortgagor households on course to see their family budgets fall by at least 5 per cent from higher payments, the living standards pain from rising interest rates will be widespread.”