You are here: Home - Mortgages - First Time Buyer - News -

Brexit camp dismisses Osborne’s warning over rising mortgage costs

0
08/06/2016
Leave campaigners have rubbished George Osborne’s prediction that mortgage costs would rise by £1,500 if the UK voted to exit the European Union on 23 June.

Speaking at a debate on the EU Referendum and its impact on personal finance, Kelvin Hopkins MP for Luton North, and a supporter of the ‘leave’ campaign, said interest rates would only begin to rise when the economy had started to recover, and not because of a Brexit.

“We have a deflationary problem across the world at the moment. China is in trouble, Japan is in serious trouble, the EU is in trouble and so is America. There is a possibility of another crisis,” said Hopkins.

Osborne made the claims after fresh analysis of Treasury figures by Britain Stronger in Europe suggested that a vote to leave the EU would add between £920 and £1,470 to the costs of a mortgage on an average home priced at £292,000.

Hopkins said the remain party’s doom-mongering about the disasters facing the country, should it vote to leave the EU, followed the same pattern as other predicted catastrophes which failed to materialise.

“We were going to face crisis if we didn’t subscribe to the euro but it’s actually worked to our advantage being outside the euro,” said Hopkins. “The millennium bug was a predicted crisis and nothing happened. All these forecasts of doom, I just don’t believe. I think the economy will fare better outside the EU.”

Gareth Thomas, MP for West Harrow and chair of the Co-op party, speaking for the ‘remain’ argument, said there were always costs related to uncertainty, but added that as he had not seen the Chancellor’s analysis, he not could comment in more depth.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Autumn Statement: Everything you need to know at a glance

Yesterday Chancellor Jeremy Hunt made his first fiscal statement in the role, outlining a range of tax measure...

End of Help to Buy: 10 alternatives for first-time buyers

The deadline for Help to Buy Equity Loan applications passed on 31 October. If you’re a first-time buyer who...

Moving to an energy prepayment meter: Everything you need to know

As households struggle with the soaring cost of energy, tens of thousands of billpayers are expected to move o...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week