How high will the base rate go?

Interest rates are now at their highest since December 2008 but how high can they go?

As the cost of living crisis continues, the Office for National Statistics (ONS) reported that inflation in the UK had reached 10.1% in July, setting a new 40-year record high. 

Some are now predicting that the Bank of England may need to raise interest rates to 3% or 4% in order to help curb inflation. 

Many of our clients are now actively reviewing their mortgage products, those still on variable or tracker rates may wish to consider long-term fixed rates to protect themselves from the next possible rises. We may even be able to review your current mortgage by looking at possible options to fix the rate with your existing lender.

If you would like to discuss options available to you, speak to a member of the team or our senior broker, Danny O’Keeffe on 0208 364 3444 alternatively schedule a call back by clicking on the button below.

According to Moneyfacts, The average two-year fixed mortgage rate has risen by 0.14 per cent since the start of August to 4.09 per cent currently.

The average two-year fixed mortgage rate has risen to 4.09 per cent:

The average five-year fixed rate has also continued to climb, going from 4.08 per cent since the start of August to 4.24 per cent currently. This is also up from 2.75 per cent in August last year.

Rising number of landlords seek insurance to protect rental income:

Landlords are increasingly looking at insurance options to protect their income, with the cost-of-living crisis potentially threatening their tenant’s ability to pay their rent. 

Research suggests almost one in two landlords (48%) are now looking at rent protection or additional insurance as means of protecting their own income. 

If you would like us to review your income protection or landlord’s insurance then please get in touch.