Mortgage rates spike as five lenders put up prices in 24 hours

Mortgage rates are spiking as five mortgage lenders upped their pricing in the last 24 hours in response to the escalating conflict in Iran.

The typical two-year fix is now 5.54 per cent, according to the rates scrutineer Moneyfacts, up from 5.5 per cent yesterday.

Meanwhile, five-year fixes have climbed to 5.57 per cent, up from 5.52 per cent in 24 hours.

This is the biggest daily jump in mortgage rates since early April, when the conflict in Iran first began.

Lenders are putting up rates because they fear that the conflict could lead to a fresh inflation spike.