Mortgage rates have seen a weekly rise for the first time since Easter, dealing a blow to Andy Burnham as he prepares to enter Downing Street.
Analysis from financial comparison site Moneyfacts showed 13 major lenders have put up borrowing costs as renewed fighting in the Middle East stokes inflation fears.
Growing evidence suggests households are struggling to make ends meet, with official figures yesterday showing that 11,871 individuals entered insolvency in England and Wales in June – up 16 per cent from the same month last year.
Rising borrowing costs, together with increasing energy bills, will do little to help.
Moneyfacts said the average new mortgage rate rose from 5.42 per cent to 5.46 per cent over the course of the week, the first such increase since early April.
