BOE Says 1.3 Million UK Borrowers Brace for Higher Mortgages

  • Rate hikes to hit those who must refinance home loans
  • Average household may pay £200 a month more on mortgages

A row of luxury residential homes in the Kensington and Chelsea district of London, UK.

Photographer: Jason Alden/Bloomberg
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The Bank of England said about 1.3 million mortgage borrowers are facing a crunch on their finances this year as their fixed-term deals expire.

Those households are likely to have to take on new loans at significantly higher interest rates, requiring them on average to pay about £200 ($250) a month more, the central bank estimated Thursday.