Interest Rate Gone Up By 0.5% To 1.75% - Biggest Jump In 27 Years
In the News
The Bank of England has just increased interest rates as expected but they have gone up 0.5% instead of the usual 0.25% making this the biggest jump in 27 years and taking the interest rate to 1.75%
People on tracker and variable rate mortgages will see their payments rise from next month. They have increased the rate in another attempt to slow the rate of UK inflation which is tipped to pass an eye watering 13% later on this year.
The typical tracker mortgage will rise and extra £52 per month and a typical variable rate will increase around £59 per month. This obviously depends on how much you have left etc but these are the average increases. Credit card, loans and car loan payments could also increase if you are not on a fixed rate too.
Will this affect you? I just worry how much more cloth we can cut and how much more money we can somehow find to pay for our basics with mortgages, food, fuel and energy price rises.
Join for free to get genuine deals, money saving advice and help from our friendly community
Chief Bargain Hunter