6,879 households in Luton face an eyewatering jump in mortgage repayments next year as a result of the Conservatives crashing the economy.
Analysis by the Labour Party using Bank of England data found that homeowners coming off two-year fixed term mortgages in October 2022 are set to pay £500 a month more on average after the government’s disastrous mini-Budget.
Further investigation has found that the number of people refinancing on the terms above is forecast to be 1.8 million people out of a total 6.8 million mortgage holders – or one in four of all mortgage holders in the UK.
That means an estimated 6,879 households in Luton will be paying hundreds of pounds a month more from next year as rates top 6%.
At their party conference last month, Labour announced a comprehensive plan to target 70% homeownership, including giving first-time buyers first dibs on new developments and a state-backed mortgage insurance scheme.
Rachel Hopkins MP, Member of Parliament for Luton South, said:
“The Conservatives have jeopardised the future of homeowners right across the country.
People in Luton that have scrimped and saved for a deposit have in the blink of an eye been thrown under the bus, and homeowners already facing soaring energy bills will now have to find another £500 a month. Many simply won’t be able to afford this hike.
This is not simply an unfortunate mistake. It is an unforgivable act of Conservative irresponsibility that has crashed the economy. It’s a Tory crisis, created in Downing Street, paid for by working people.”