Qualified advisers answering your
Financial Questions
call 0800 092 1245

UK mortgage holders charged excess £1800 year

A Daily Mail investigation has today claimed that the average UK mortgage holder is now paying an excess of up to £1800 a year due to the fact that UK banks have failed to pass on recent base rate reductions. The investigation details the fact that in July 2008 the average mortgage rate was only 0.5% above the cost of borrowing on the money markets although today there appears to be an extra 2.61% premium over and above the cost of finance to mortgage providers in the UK.

On a typical £150,000 mortgage this equates to just under £1800 a year in "excess fees" which the UK government is addressing at this moment in time. This is one of the arguments which Alistair Darling used in his meeting with the UK banks earlier this week and one which has now been released into the public domain. While the situation is not as straightforward as the Treasury may have you believe, with bad debts and other issue to take into account, there is no doubt that banks which were bailed out by the UK taxpayer are yet to give anything back to UK mortgage holders.

The next few weeks will be interesting to say the least!

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details