My mortgage is up at the end of the month. We are going on to a interest only 2 year discounted tracker mortgage and our repayments will go up by about £200pcm. If rates don’t go down by enough in 2 years then i foresee us having to downsize.
Personally i dont agree with raising interest rates as i see inflation being governed by external factors, which have now reduced in price (oil, LNG), along with corporate greed; if supermarket costs goes up by 50% and their price goes up by 50% then they’ve also added 50% onto their margin and they should be held accountable for this IMO. It will also hinder businesses lending which will also hinder growth, which is what the country needs so desperately right now.
Also if you are making enough money in your savings from interest rates alone then you’ve already got enough cash in the bank.