More than 9,000 families in Wakefield hit by mortgage rate hikes, city’s MP claims

Analysis by the Labour Party claims average households in the city are set to see annual payments increase by £2,000.

Mr Lightwood said its comes as mortgage deals are being routinely withdrawn by banks and interest rates are increasing.

Moneyfacts data suggests the typical rate of a two-year fixed-rate loan has increased to almost six per cent.

The Resolution Foundation estimates that 6.5m households will be affected by the post-mini budget rise in mortgage rates by 2026.

Last month, the Bank of England raised interest rates to five per cent, leading to 1.4 million people on variable rate mortgages paying even more each month.Chancellor Jeremy Hunt has said the Bank had “no alternative” but to lift rates in its attempt to tackle inflation and curb rising prices.

Mr Lightwood said the increases will affect 9,100 families in his constituency.

Commenting on the figures, he said: “This Tory mortgage crisis is yet another example of the Conservatives failing to get a grip of the cost-of-living crisis, which is devastating the finances of people in Wakefield, Horbury and Ossett.

“The country is stagnating under 13 years of Conservative mismanagement and a crashed economy, and it is ordinary families who are paying the price.

“The fundamental question is, are you and your family really better off after 13 years of the Conservatives? For so many the answer is a clear no.”