The availability of sub-4% fixed mortgage deals has sharply declined, with a financial information website attributing the scarcity to "Trumpflation" caused by the US war with Iran, impacting UK consumers. Rising rates mean new borrowers could pay hundreds of pounds more annually than just weeks ago, as financial markets become more volatile following the Middle East conflict.
Many major lenders no longer offer sub-4% fixed-rate deals that were available last week, Moneyfactscompare.co.uk reported. On Tuesday morning, only nine fixed-rate deals below 4% remained – a dramatic fall from 490 deals on March 9. Across the wider mortgage market, 689 fewer products were available on Tuesday compared to March 9, according to Moneyfacts’ figures. Banks and building societies are increasing mortgage rates and withdrawing products amid rises to swap rates, which lenders use to price mortgages.
