Pressure still on for struggling households as interest rates held
National Debtline responds to latest interest rate decision.
Posted March 21, 2024
National Debtline has responded to the Bank of England’s decision to hold interest rates at 5.25%, saying pressure on household budgets is set to continue and will increase for mortgage holders facing higher rates.
The decision comes a day after the Office for National Statistics revealed the rate of inflation fell to 3.4 percent in February.
David Cheadle, chief operating officer at National Debtline, said:
“High interest rates are impacting more and more families each month, as mortgage payers come to the end of fixed rate deals meaning their monthly payments increase significantly. Renters are also being impacted as higher costs are passed on by landlords.
“Despite this week’s welcome drop in inflation, the pressure on household budgets is set to continue and we can unfortunately expect many more to fall into arrears.
“Anyone struggling to keep up with mortgage repayments should reach out to your lender. Lenders can do more to help than people often think, so it’s important to get in touch. And anyone worried about their finances can always speak to an adviser at National Debtline, who can work through all the options available.”
National Debtline provides free, independent, expert advice and can be contacted on 0808 808 4000 or via www.nationaldebtline.org
