Chesterfield MP Toby Perkins has highlighted the impact of mortgage rate increases on his constituents as new figures show the scale of the problem.   

Analysis from the Labour Party revealed that 8,600 families in Chesterfield hit by Tory mortgage penalty as families face annual mortgage payment increase of £1,900 this year under the Conservatives  

Labour analysis uncovered that the average household in Chesterfield is set to be put under more pressure than ever by Conservative mismanagement of the economy.  

It follows the news that many mortgage deals are being withdrawn by Banks and interest rates being increased, particularly for first-time buyers.  

Moneyfacts data suggesting the typical rate on a two year fixed-rate loan had increased to almost 6%, almost double a year ago. 

The Resolution Foundation has further estimated that the mortgage rates of 6.5 million households will be affected by 2026, caused by Former Prime Minister Liz Truss’ disastrous mini budget. 

This week, economists warned that there is a real risk of job losses and a sharp recession. The latest forecasts of economic growth this year suggest that the UK is struggling to get out of the slow lane, with growth of just 0.2% forecast on the year.  

At Prime Minister’s Questions this week, Labour Leader Keir Starmer pressed the Prime Minister on mortgages, highlighting the fact that Rishi Sunak was warned by experts about mortgage rises. 

Keir said: “Either he didn’t get it, didn’t believe it, or didn’t care. He’s out of touch with the reality facing millions of families because of his Government.” 

In a recent debate on the mortgage market, Toby pressed the Government on their woeful economic record, asking: 

“Does the Minister realise that my constituents who are desperately worried about the cost of their mortgages will not have heard a single word from him to suggest that things are going to get better as a result of this Government’s actions?” 

Toby added: 

“The Tory mortgage penalty is devastating for family finances and is holding back our economy. What’s more, there is one overwhelming cause: that the Conservatives crashed our economy. This government has failed to invest in Britain for more than 13 years of economic blunder, harsh cuts to key services and breathtaking incompetence.  

 “People are asking themselves whether they or their family are better off under the Tories. The answer is no.  

“Labour will bring financial and economic security back, so that families are not constantly on a cliff edge, and so that we can urgently grow our economy to grab hold of opportunities of the future.”