In today’s Autumn Statement (for Growth), Chancellor Jeremy Hunt said the Government was on track to reducing debt, cutting taxes, and controlling inflation.
With inflation down from 11.1% when he and Prime Minister Rishi Sunak took office to 4.6%, he went on to say the Office for Budget Responsibility (OBR) has forecast inflation will fall to 2.8% by the end of 2024 then further again below the Bank of England (BOE) target of 2.0% before the end of 2025 because of the measures put in place by this Government.
What Next For Mortgages ?
Suppose the OBR forecasts delivered by the Chancellor turn out to be accurate. In that case, this will likely result in mortgage rates remaining stable at the current level over the next two years. Still, volatile global market conditions and a General Election must be manoeuvred before the end of 2024.
The next meeting of the Bank of England (BoE) Monetary Policy Committee is scheduled for 14th December 2023. Economists within mortgage lenders are already reporting operations in a smaller market for 2024 and are already reporting a reduction. Seeing how competition shapes the mortgage arena in the first quarter of 2024 will be interesting as markets have reacted favourably to the message delivered in today’s Budget.
If you are looking for a new or considering a review of your existing mortgage to benefit from the latest rate reductions, call 0800 0350095 or click on the button below to schedule a callback.