Over 800,000 UK Households to See Mortgage Rates Double in 2023
- ONS warns 1.4 million fixed-rate deals expire this year
- Renters and borrowers say rising costs ‘difficult to service’
A typical fixed-rate mortgagor faces a £250 increase in their monthly payments.
Photographer: Hollie Adams/BloombergThis article is for subscribers only.
Over 800,000 UK households will see their mortgage rates more than double this year as they come off low fixed-rate deals, adding to the pressure on living standards.
In total, more than 1.4 million fixed-rate borrowers will have to renew their mortgage in 2023, with 57% currently on deals of less than 2%, according to an Office for National Statistics analysis of Bank of England data. The average variable rate mortgage is currently 4.41% and fixed-rate deals start at around 5%.