THE average five-year fixed-rate home-owner mortgage has jumped above 6 per cent for the first time since last November, new data shows.
Across all deposit sizes, the typical rate on the market on Tuesday was 6.01 per cent, up from an average rate of 5.97 per cent on Monday, according to financial information website Moneyfacts.
The total number of residential mortgage products available grew to 4,404, from 4,396 the previous day.
The last time the typical five-year fixed-rate residential mortgage topped 6 per cent was in November 2022, when rates rose sharply following former chancellor Kwasi Kwarteng's mini-budget.
The average two-year fixed residential mortgage deal was 6.47 per cent on Tuesday, edging up from 6.42 per cent the previous day. It means it is nearing the highs of October last year in the midst of the market volatility.
Mortgage rates later started to settle, but the average two-year fixed-rate topped 6% once more earlier in June, for the first time in 2023.
It comes as the Bank of England pushed the UK base interest rate to 5 per cent last month, opting for a bigger hike than most economists were expecting.
It marked the 13th time in a row that the central bank has pushed up rates, in efforts to quell rampant inflation across the UK.
Lib Dem MP and Treasury spokeswoman Sarah Olney urged the Government to do more in response to climbing mortgage rates.
She said: "This is yet more mortgage misery for home-owners on the brink.
"Rishi Sunak asking home-owners to hold their nerve is sounding more tin-eared by the day.
"It shows this Conservative Government is just totally out of touch.
"Conservative ministers sent mortgages spiralling through all their chaos and incompetence, now they are refusing to lift a finger to help."
Last month, Chancellor Jeremy Hunt unveiled a new mortgage charter which he worked on with major lenders representing around 85% of the mortgage market.
Under the terms, banks will allow customers who are up to date with their payments to switch to interest-only payments for six months or extend their mortgage term to reduce their monthly payments.
Borrowers will have the option to revert to their original term within six months by contacting their lender.
It also prevents lenders from repossessing homes in less than a year from a borrower's first missed payment, unless there are exceptional circumstances.
The move followed the Government coming under growing pressure to intervene to help struggling borrowers amid rate rises.
But analysts have pointed out that the Bank of England's intention in hiking up interest rates is to limit spending to bring down inflation.
"It shows this Conservative government is just totally out of touch.
"Conservative ministers sent mortgages spiralling through all their chaos and incompetence, now they are refusing to lift a finger to help."
