11 May 2023

How interest rate hike will affect mortgages

Economics Correspondent

Interest rates are going up again – to 4.5% – the highest level they have been for 15 years.

The Bank of England today said it was more optimistic about economic growth – it now believes there will be no recession this year.

But it also thinks inflation is going to stay higher for longer.

Rising rates mean that over a million people are about to see their mortgage payments shoot up as their fixed rate deals end this year.