6,200 Families in Newcastle Upon Tyne Central face an annual mortgage payment increase of £1,500 under the current government. This follows the Bank of England warning in December that around half of households with a mortgage, a total of 4 million, will be exposed to rate rises this year, and Bloomberg reporting that around 800,000 will see their mortgage rates double.
This week, the IMF chief economist singled out higher mortgage rates as a reason for Britain’s poor performance after the country’s growth was downgraded, leaving it as the only major economy expected to shrink in 2023.
With deprivation as high as 71.3% in some parts of the city according to the ONS, the mortgage hike places families in Newcastle in one of the most vulnerable positions nationally.
Statement from Newcastle Central MP
Chi Onwurah, Labour MP for Newcastle Central said:
“The Tory mortgage penalty is devastating for families across Newcastle, especially given parts of the city are experiencing some of the worst deprivation to date. The country is buckling under 13 years of Conservative mismanagement, and it is families being asked to pay more on their mortgage once again.
“The Tory double-whammy of stagnant wage growth and the hike on mortgages means families cannot make ends meet. 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.”
This article is based on a press release from the office of Chi Onwurah, MP
