Rates rise will see mortgage repayments climb by £700

Analysis by Moneyfacts says mortgage holders' repayments will rise by nearly £700 a year if the Bank of England doubles its base rate as expected this week. The Bank’s Monetary Policy Committee (MPC) is expected to double its base rate to 0.5%. Moneyfacts estimates that the average borrower's annual repayments will increase by £687 to £13,904.64. Moneyfacts' Eleanor Williams said: "Currently the difference between the average standard variable rate and the average two-year fixed rate is around two percentage points, so borrowers might be able to make a significant monthly saving by moving off a standard variable rate to a fixed-rate deal."

Sunday Express