Our response to Bank of England decision to raise interest rates

_{3 November, 2017}

Responding to the Bank of England’s announcement of a raise in interest rates, Mike O’Connor, Chief Executive of StepChange Debt Charity, said:

“With incomes already squeezed, even having to pay £20 more on average per month on a mortgage after today’s rise could push people who are just holding on by their fingertips from paycheque to paycheque, into the red. We estimate one in 10 of our clients with a mortgage will end up with a deficit budget, and some households will need support to adjust.

“With more pressure on household budgets, this highlights the need for government to set out a clear strategy to help households get through financial difficulties. As a start, we urge the quick introduction of the statutory breathing space scheme promised last week.”