Families are facing mortgage hikes of up to £13,000 a year as they are hit by the Tories’ bodged handling of the economy, Labour has claimed.
An analysis by the party found average increases of between £1,000 and £13,000 across every constituency in the UK.
According to their calculations, Kensington has seen payments rise by £13,980, while in Sheffield Hallam the figure was £3,080 and in Erewash £1,830.
Around four million households with mortgages will be exposed to rate rises over the course of 2023, the Bank of England warned in December.
It is estimated 1.4million people will have to renew their mortgage this year, meaning they will be stung by the higher interest rates.
Image:
Getty Images/iStockphoto)The cost of a two-year fixed-rate mortgage stands at an eye-watering 5.75% this month, according to Moneyfacts, compared to 3.95% in August, the month before Liz Truss’s disastrous mini-budget.
Labour compared these interest rates by using house price data from the House of Commons Library. Their analysis assumes an 80% loan to value ratio.
This week the IMF’s chief economist singled out higher mortgage rates as a reason for Britain’s poor economic performance.
Shadow Chancellor Rachel Reeves said: “The Tory mortgage penalty is devastating for family finances and is holding back our economy.
“The country is buckling under 13 years of Conservative mismanagement, and it’s families being asked to pay more on their mortgage once again.
“People are asking themselves whether they or their family are better off under the Tories. The answer is no.
“By stabilising the economy, making it stronger and getting it growing, Labour will stop us lurching from crisis to crisis, and make Britain thrive again.”
It was reported this week the number of people borrowing money to buy a house has dropped.
Mortgage lending fell by more than a fifth in December, according to data from the Bank of England.
In total 35,600 mortgages were approved in December, the lowest level since May 2020, This is Money reported.
If the onset of the pandemic and the immediate period after are ignored, house purchase approvals are at the lowest level since January 2009, when there were 32,400.
Gary Boakes, director of Salisbury-based mortgage broker Verve Financial, said: “December was probably the slowest month I have seen in 10 years and this data highlights that. Nobody was interested in doing anything and people were simply waiting to see if rates continued to fall in January.”
Find your area
Constituency name: The estimated increase in mortgage costs a year for median house purchase at 80% mortgage
| Aberconwy | £2,100 |
| Aldershot | £3,350 |
| Aldridge-Brownhills | £2,220 |
| Altrincham and Sale West | £4,040 |
| Alyn and Deeside | £1,850 |
| Amber Valley | £1,750 |
| Arfon | £1,620 |
| Arundel and South Downs | £4,690 |
| Ashfield | £1,650 |
| Ashford | £3,150 |
| Ashton-under-Lyne | £1,750 |
| Aylesbury | £3,300 |
| Banbury | £3,030 |
| Barking | £3,450 |
| Barnsley Central | £1,410 |
| Barnsley East | £1,360 |
| Barrow and Furness | £1,540 |
| Basildon and Billericay | £3,400 |
| Basingstoke | £2,950 |
| Bassetlaw | £1,750 |
| Bath | £3,990 |
| Batley and Spen | £1,550 |
| Battersea | £7,640 |
| Beaconsfield | £5,940 |
| Beckenham | £5,340 |
| Bedford | £2,700 |
| Bermondsey and Old Southwark | £5,140 |
| Berwick-upon-Tweed | £1,950 |
| Bethnal Green and Bow | £4,990 |
| Beverley and Holderness | £1,950 |
| Bexhill and Battle | £3,250 |
| Bexleyheath and Crayford | £3,870 |
| Birkenhead | £1,420 |
| Birmingham, Edgbaston | £2,350 |
| Birmingham, Erdington | £1,800 |
| Birmingham, Hall Green | £2,400 |
| Birmingham, Hodge Hill | £1,750 |
| Birmingham, Ladywood | £1,900 |
| Birmingham, Northfield | £1,910 |
| Birmingham, Perry Barr | £1,860 |
| Birmingham, Selly Oak | £2,300 |
| Birmingham, Yardley | £1,950 |
| Bishop Auckland | £1,170 |
| Blackburn | £1,210 |
| Blackley and Broughton | £1,750 |
| Blackpool North and Cleveleys | £1,460 |
| Blackpool South | £1,220 |
| Blaenau Gwent | £1,180 |
| Blaydon | £1,500 |
| Blyth Valley | £1,410 |
| Bognor Regis and Littlehampton | £2,950 |
| Bolsover | £1,550 |
| Bolton North East | £1,550 |
| Bolton South East | £1,450 |
| Bolton West | £1,810 |
| Bootle | £1,450 |
| Boston and Skegness | £1,860 |
| Bosworth | £2,360 |
| Bournemouth East | £2,800 |
| Bournemouth West | £2,800 |
| Bracknell | £3,650 |
| Bradford East | £1,250 |
| Bradford South | £1,270 |
| Bradford West | £1,230 |
| Braintree | £3,100 |
| Brecon and Radnorshire | £2,270 |
| Brent Central | £5,240 |
| Brent North | £5,090 |
| Brentford and Isleworth | £5,290 |
| Brentwood and Ongar | £4,690 |
| Bridgend | £2,050 |
| Bridgwater and West Somerset | £2,400 |
| Brigg and Goole | £1,750 |
| Brighton, Kemptown | £3,690 |
| Brighton, Pavilion | £4,030 |
| Bristol East | £2,900 |
| Bristol North West | £3,200 |
| Bristol South | £2,900 |
| Bristol West | £3,510 |
| Broadland | £2,850 |
| Bromley and Chislehurst | £4,810 |
| Bromsgrove | £3,100 |
| Broxbourne | £3,990 |
| Broxtowe | £2,250 |
| Buckingham | £4,110 |
| Burnley | £1,180 |
| Burton | £1,900 |
| Bury North | £2,050 |
| Bury South | £2,200 |
| Bury St Edmunds | £2,780 |
| Caerphilly | £1,730 |
| Calder Valley | £1,800 |
| Camberwell and Peckham | £4,940 |
| Camborne and Redruth | £2,400 |
| Cambridge | £4,500 |
| Cannock Chase | £1,900 |
| Canterbury | £3,320 |
| Cardiff Central | £2,320 |
| Cardiff North | £3,070 |
| Cardiff South and Penarth | £2,150 |
| Cardiff West | £2,510 |
| Carlisle | £1,320 |
| Carmarthen East and Dinefwr | £1,900 |
| Carmarthen West and Pembrokeshire South | £2,100 |
| Carshalton and Wallington | £4,140 |
| Castle Point | £3,370 |
| Central Devon | £2,850 |
| Central Suffolk and North Ipswich | £2,920 |
| Ceredigion | £2,270 |
| Charnwood | £2,600 |
| Chatham and Aylesford | £2,680 |
| Cheadle | £3,250 |
| Chelmsford | £3,500 |
| Chelsea and Fulham | £11,480 |
| Cheltenham | £2,800 |
| Chesham and Amersham | £6,370 |
| Chesterfield | £1,790 |
| Chichester | £3,840 |
| Chingford and Woodford Green | £4,900 |
| Chippenham | £2,800 |
| Chipping Barnet | £6,230 |
| Chorley | £1,750 |
| Christchurch | £4,040 |
| Cities of London and Westminster | £11,730 |
| City of Chester | £2,370 |
| City of Durham | £1,480 |
| Clacton | £2,500 |
| Cleethorpes | £1,650 |
| Clwyd South | £1,720 |
| Clwyd West | £1,900 |
| Colchester | £2,670 |
| Colne Valley | £1,860 |
| Congleton | £2,300 |
| Copeland | £1,350 |
| Corby | £2,350 |
| Coventry North East | £1,900 |
| Coventry North West | £2,150 |
| Coventry South | £2,270 |
| Crawley | £3,160 |
| Crewe and Nantwich | £1,850 |
| Croydon Central | £3,770 |
| Croydon North | £3,650 |
| Croydon South | £4,620 |
| Cynon Valley | £1,200 |
| Dagenham and Rainham | £3,790 |
| Darlington | £1,300 |
| Dartford | £3,400 |
| Daventry | £2,950 |
| Delyn | £1,750 |
| Denton and Reddish | £1,900 |
| Derby North | £1,840 |
| Derby South | £1,600 |
| Derbyshire Dales | £2,900 |
| Devizes | £3,300 |
| Dewsbury | £1,890 |
| Don Valley | £1,620 |
| Doncaster Central | £1,480 |
| Doncaster North | £1,400 |
| Dover | £2,740 |
| Dudley North | £1,850 |
| Dudley South | £1,950 |
| Dulwich and West Norwood | £6,070 |
| Dwyfor Meirionnydd | £2,000 |
| Ealing Central and Acton | £6,440 |
| Ealing North | £4,740 |
| Ealing, Southall | £5,010 |
| Easington | £910 |
| East Devon | £3,160 |
| East Ham | £4,190 |
| East Hampshire | £3,990 |
| East Surrey | £4,540 |
| East Worthing and Shoreham | £3,650 |
| East Yorkshire | £1,940 |
| Eastbourne | £2,770 |
| Eastleigh | £3,000 |
| Eddisbury | £2,650 |
| Edmonton | £4,040 |
| Ellesmere Port and Neston | £1,950 |
| Elmet and Rothwell | £2,460 |
| Eltham | £4,490 |
| Enfield North | £4,290 |
| Enfield, Southgate | £6,050 |
| Epping Forest | £4,990 |
| Epsom and Ewell | £5,590 |
| Erewash | £1,830 |
| Erith and Thamesmead | £3,550 |
| Esher and Walton | £6,740 |
| Exeter | £2,650 |
| Fareham | £3,150 |
| Faversham and Mid Kent | £3,500 |
| Feltham and Heston | £4,140 |
| Filton and Bradley Stoke | £3,200 |
| Finchley and Golders Green | £7,490 |
| Folkestone and Hythe | £3,000 |
| Forest of Dean | £2,650 |
| Fylde | £2,070 |
| Gainsborough | £2,050 |
| Garston and Halewood | £1,900 |
| Gateshead | £1,300 |
| Gedling | £2,080 |
| Gillingham and Rainham | £2,790 |
| Gloucester | £2,220 |
| Gosport | £2,440 |
| Gower | £2,100 |
| Grantham and Stamford | £2,250 |
| Gravesham | £3,360 |
| Great Grimsby | £1,280 |
| Great Yarmouth | £2,050 |
| Greenwich and Woolwich | £4,690 |
| Guildford | £4,910 |
| Hackney North and Stoke Newington | £5,990 |
| Hackney South and Shoreditch | £5,890 |
| Halesowen and Rowley Regis | £2,060 |
| Halifax | £1,390 |
| Haltemprice and Howden | £2,240 |
| Halton | £1,500 |
| Hammersmith | £6,740 |
| Hampstead and Kilburn | £8,740 |
| Harborough | £2,650 |
| Harlow | £3,150 |
| Harrogate and Knaresborough | £2,750 |
| Harrow East | £5,640 |
| Harrow West | £4,990 |
| Hartlepool | £1,260 |
| Harwich and North Essex | £2,900 |
| Hastings and Rye | £2,900 |
| Havant | £2,900 |
| Hayes and Harlington | £4,090 |
| Hazel Grove | £2,600 |
| Hemel Hempstead | £3,760 |
| Hemsworth | £1,590 |
| Hendon | £5,240 |
| Henley | £4,850 |
| Hereford and South Herefordshire | £2,370 |
| Hertford and Stortford | £3,990 |
| Hertsmere | £5,340 |
| Hexham | £2,350 |
| Heywood and Middleton | £1,750 |
| High Peak | £2,190 |
| Hitchin and Harpenden | £5,090 |
| Holborn and St Pancras | £6,990 |
| Hornchurch and Upminster | £4,390 |
| Hornsey and Wood Green | £6,310 |
| Horsham | £3,990 |
| Houghton and Sunderland South | £1,370 |
| Hove | £3,780 |
| Huddersfield | £1,500 |
| Huntingdon | £2,850 |
| Hyndburn | £1,230 |
| Ilford North | £4,890 |
| Ilford South | £4,450 |
| Ipswich | £2,200 |
| Isle of Wight | £2,470 |
| Islington North | £6,190 |
| Islington South and Finsbury | £7,090 |
| Islwyn | £1,500 |
| Jarrow | £1,350 |
| Keighley | £1,790 |
| Kenilworth and Southam | £3,450 |
| Kensington | £13,980 |
| Kettering | £2,280 |
| Kingston and Surbiton | £4,890 |
| Kingston upon Hull East | £1,250 |
| Kingston upon Hull North | £1,320 |
| Kingston upon Hull West and Hessle | £1,300 |
| Kingswood | £2,920 |
| Knowsley | £1,600 |
| Lancaster and Fleetwood | £1,600 |
| Leeds Central | £1,450 |
| Leeds East | £1,870 |
| Leeds North East | £2,840 |
| Leeds North West | £2,600 |
| Leeds West | £1,700 |
| Leicester East | £2,400 |
| Leicester South | £2,150 |
| Leicester West | £1,950 |
| Leigh | £1,650 |
| Lewes | £3,740 |
| Lewisham East | £4,390 |
| Lewisham West and Penge | £4,340 |
| Lewisham, Deptford | £4,650 |
| Leyton and Wanstead | £5,240 |
| Lichfield | £2,620 |
| Lincoln | £1,810 |
| Liverpool, Riverside | £1,700 |
| Liverpool, Walton | £1,150 |
| Liverpool, Wavertree | £1,600 |
| Liverpool, West Derby | £1,400 |
| Llanelli | £1,450 |
| Loughborough | £2,260 |
| Louth and Horncastle | £2,000 |
| Ludlow | £2,550 |
| Luton North | £2,900 |
| Luton South | £2,760 |
| Macclesfield | £2,600 |
| Maidenhead | £5,190 |
| Maidstone and The Weald | £3,260 |
| Makerfield | £1,600 |
| Maldon | £3,700 |
| Manchester Central | £2,150 |
| Manchester, Gorton | £1,850 |
| Manchester, Withington | £2,900 |
| Mansfield | £1,610 |
| Meon Valley | £3,550 |
| Meriden | £3,000 |
| Merthyr Tydfil and Rhymney | £1,250 |
| Mid Bedfordshire | £3,500 |
| Mid Derbyshire | £2,380 |
| Mid Dorset and North Poole | £3,650 |
| Mid Norfolk | £2,600 |
| Mid Sussex | £3,940 |
| Mid Worcestershire | £2,750 |
| Middlesbrough | £1,100 |
| Middlesbrough South and East Cleveland | £1,600 |
| Milton Keynes North | £2,900 |
| Milton Keynes South | £3,120 |
| Mitcham and Morden | £4,330 |
| Mole Valley | £5,740 |
| Monmouth | £2,880 |
| Montgomeryshire | £2,000 |
| Morecambe and Lunesdale | £1,750 |
| Morley and Outwood | £2,050 |
| Neath | £1,400 |
| New Forest East | £3,300 |
| New Forest West | £4,190 |
| Newark | £2,350 |
| Newbury | £3,450 |
| Newcastle upon Tyne Central | £1,500 |
| Newcastle upon Tyne East | £1,670 |
| Newcastle upon Tyne North | £1,850 |
| Newcastle-under-Lyme | £1,650 |
| Newport East | £2,000 |
| Newport West | £2,120 |
| Newton Abbot | £2,650 |
| Normanton, Pontefract and Castleford | £1,580 |
| North Cornwall | £2,750 |
| North Devon | £2,750 |
| North Dorset | £3,300 |
| North Durham | £1,150 |
| North East Bedfordshire | £3,300 |
| North East Cambridgeshire | £2,250 |
| North East Derbyshire | £2,070 |
| North East Hampshire | £4,590 |
| North East Hertfordshire | £3,740 |
| North East Somerset | £3,150 |
| North Herefordshire | £2,870 |
| North Norfolk | £2,930 |
| North Shropshire | £2,250 |
| North Somerset | £3,580 |
| North Swindon | £2,440 |
| North Thanet | £3,050 |
| North Tyneside | £1,500 |
| North Warwickshire | £2,250 |
| North West Cambridgeshire | £2,450 |
| North West Durham | £1,250 |
| North West Hampshire | £3,180 |
| North West Leicestershire | £2,300 |
| North West Norfolk | £2,450 |
| North Wiltshire | £3,100 |
| Northampton North | £2,330 |
| Northampton South | £2,220 |
| Norwich North | £2,350 |
| Norwich South | £2,350 |
| Nottingham East | £1,620 |
| Nottingham North | £1,550 |
| Nottingham South | £2,000 |
| Nuneaton | £2,100 |
| Ogmore | £1,550 |
| Old Bexley and Sidcup | £4,340 |
| Oldham East and Saddleworth | £1,800 |
| Oldham West and Royton | £1,600 |
| Orpington | £4,940 |
| Oxford East | £3,920 |
| Oxford West and Abingdon | £3,990 |
| Pendle | £1,250 |
| Penistone and Stocksbridge | £1,900 |
| Penrith and The Border | £1,990 |
| Peterborough | £2,020 |
| Plymouth, Moor View | £1,850 |
| Plymouth, Sutton and Devonport | £1,850 |
| Pontypridd | £1,700 |
| Poole | £3,220 |
| Poplar and Limehouse | £5,540 |
| Portsmouth North | £2,570 |
| Portsmouth South | £2,310 |
| Preseli Pembrokeshire | £1,950 |
| Preston | £1,200 |
| Pudsey | £2,300 |
| Putney | £5,990 |
| Rayleigh and Wickford | £3,740 |
| Reading East | £3,590 |
| Reading West | £3,150 |
| Redcar | £1,370 |
| Redditch | £2,350 |
| Reigate | £4,590 |
| Rhondda | £1,030 |
| Ribble Valley | £2,000 |
| Richmond (Yorks) | £2,310 |
| Richmond Park | £9,040 |
| Rochdale | £1,550 |
| Rochester and Strood | £2,900 |
| Rochford and Southend East | £2,860 |
| Romford | £4,130 |
| Romsey and Southampton North | £3,740 |
| Rossendale and Darwen | £1,540 |
| Rother Valley | £1,800 |
| Rotherham | £1,400 |
| Rugby | £2,400 |
| Ruislip, Northwood and Pinner | £6,240 |
| Runnymede and Weybridge | £4,780 |
| Rushcliffe | £2,900 |
| Rutland and Melton | £2,650 |
| Saffron Walden | £4,390 |
| Salford and Eccles | £2,060 |
| Salisbury | £3,050 |
| Scarborough and Whitby | £1,810 |
| Scunthorpe | £1,430 |
| Sedgefield | £1,300 |
| Sefton Central | £2,330 |
| Selby and Ainsty | £2,350 |
| Sevenoaks | £4,490 |
| Sheffield Central | £1,850 |
| Sheffield South East | £1,550 |
| Sheffield, Brightside and Hillsborough | £1,380 |
| Sheffield, Hallam | £3,080 |
| Sheffield, Heeley | £1,830 |
| Sherwood | £1,950 |
| Shipley | £1,950 |
| Shrewsbury and Atcham | £2,350 |
| Sittingbourne and Sheppey | £2,750 |
| Skipton and Ripon | £2,500 |
| Sleaford and North Hykeham | £2,300 |
| Slough | £3,400 |
| Solihull | £2,950 |
| Somerton and Frome | £3,070 |
| South Basildon and East Thurrock | £3,200 |
| South Cambridgeshire | £3,990 |
| South Derbyshire | £2,250 |
| South Dorset | £2,500 |
| South East Cambridgeshire | £3,350 |
| South East Cornwall | £2,450 |
| South Holland and The Deepings | £2,250 |
| South Leicestershire | £2,600 |
| South Norfolk | £2,800 |
| South Northamptonshire | £3,150 |
| South Ribble | £1,950 |
| South Shields | £1,370 |
| South Staffordshire | £2,500 |
| South Suffolk | £3,100 |
| South Swindon | £2,310 |
| South Thanet | £2,900 |
| South West Bedfordshire | £3,100 |
| South West Devon | £2,650 |
| South West Hertfordshire | £5,540 |
| South West Norfolk | £2,450 |
| South West Surrey | £4,990 |
| South West Wiltshire | £2,650 |
| Southampton, Itchen | £2,450 |
| Southampton, Test | £2,300 |
| Southend West | £3,500 |
| Southport | £1,900 |
| Spelthorne | £4,170 |
| St Albans | £5,640 |
| St Austell and Newquay | £2,560 |
| St Helens North | £1,600 |
| St Helens South and Whiston | £1,510 |
| St Ives | £3,000 |
| Stafford | £2,150 |
| Staffordshire Moorlands | £1,900 |
| Stalybridge and Hyde | £1,800 |
| Stevenage | £3,200 |
| Stockport | £2,250 |
| Stockton North | £1,270 |
| Stockton South | £1,650 |
| Stoke-on-Trent Central | £1,250 |
| Stoke-on-Trent North | £1,350 |
| Stoke-on-Trent South | £1,500 |
| Stone | £2,350 |
| Stourbridge | £2,090 |
| Stratford-on-Avon | £3,380 |
| Streatham | £5,340 |
| Stretford and Urmston | £2,740 |
| Stroud | £3,000 |
| Suffolk Coastal | £3,000 |
| Sunderland Central | £1,350 |
| Surrey Heath | £4,190 |
| Sutton and Cheam | £4,390 |
| Sutton Coldfield | £3,270 |
| Swansea East | £1,380 |
| Swansea West | £1,760 |
| Tamworth | £2,260 |
| Tatton | £3,400 |
| Taunton Deane | £2,500 |
| Telford | £1,800 |
| Tewkesbury | £2,760 |
| The Cotswolds | £3,890 |
| The Wrekin | £2,250 |
| Thirsk and Malton | £2,400 |
| Thornbury and Yate | £3,150 |
| Thurrock | £3,140 |
| Tiverton and Honiton | £2,700 |
| Tonbridge and Malling | £4,200 |
| Tooting | £6,520 |
| Torbay | £2,180 |
| Torfaen | £1,700 |
| Torridge and West Devon | £2,600 |
| Totnes | £3,150 |
| Tottenham | £4,890 |
| Truro and Falmouth | £3,000 |
| Tunbridge Wells | £3,940 |
| Twickenham | £6,590 |
| Tynemouth | £2,100 |
| Uxbridge and South Ruislip | £4,690 |
| Vale of Clwyd | £1,670 |
| Vale of Glamorgan | £2,360 |
| Vauxhall | £5,580 |
| Wakefield | £1,840 |
| Wallasey | £1,690 |
| Walsall North | £1,650 |
| Walsall South | £1,750 |
| Walthamstow | £4,930 |
| Wansbeck | £1,350 |
| Wantage | £3,550 |
| Warley | £1,860 |
| Warrington North | £1,900 |
| Warrington South | £2,400 |
| Warwick and Leamington | £2,910 |
| Washington and Sunderland West | £1,240 |
| Watford | £4,090 |
| Waveney | £2,250 |
| Wealden | £3,750 |
| Weaver Vale | £2,150 |
| Wellingborough | £2,300 |
| Wells | £2,650 |
| Welwyn Hatfield | £3,990 |
| Wentworth and Dearne | £1,440 |
| West Bromwich East | £1,920 |
| West Bromwich West | £1,740 |
| West Dorset | £3,200 |
| West Ham | £4,310 |
| West Lancashire | £1,850 |
| West Suffolk | £2,600 |
| West Worcestershire | £2,950 |
| Westminster North | £8,450 |
| Westmorland and Lonsdale | £2,550 |
| Weston-Super-Mare | £2,450 |
| Wigan | £1,570 |
| Wimbledon | £7,590 |
| Winchester | £4,610 |
| Windsor | £4,940 |
| Wirral South | £2,200 |
| Wirral West | £2,500 |
| Witham | £3,330 |
| Witney | £3,400 |
| Woking | £4,190 |
| Wokingham | £4,370 |
| Wolverhampton North East | £1,750 |
| Wolverhampton South East | £1,700 |
| Wolverhampton South West | £2,130 |
| Worcester | £2,200 |
| Workington | £1,400 |
| Worsley and Eccles South | £2,000 |
| Worthing West | £3,270 |
| Wrexham | £1,850 |
| Wycombe | £3,740 |
| Wyre and Preston North | £2,130 |
| Wyre Forest | £2,200 |
| Wythenshawe and Sale East | £2,270 |
| Yeovil | £2,300 |
| Ynys Mon | £2,150 |
| York Central | £2,500 |
| York Outer | £3,000 |