Homeowners across the UK have been dealt a further blow today (June 22) after the Bank of England's latest announcement. Following a meeting with members of the Monetary Policy Committee, the Bank has now decided to increase interest rates by 0.5 percent - putting the base rate up to five percent.
After the 13th consecutive time that the BoE has hiked interest rates, the base rate is now at highest level the UK has seen seen since April 2008. With homeowners already struggling amid the cost of living crisis, rising interest rates are now set to put further pressure on millions of mortgage holders whose deals are coming to an end.
According to experts, around 1.3 million people bought a home back in 2021 whilst taking advantage of the government's stamp duty holiday. The majority of those people opted for a two or three-year fixed deal when rates were much lower, and it is those whose deals are now ending who are facing significant increases in their monthly repayments.
