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Thu, 30 Apr 2026

Thu, 30 Apr 2026 Mortgages, bills and jobs: Five takeaways from the Bank of England

The Bank's latest meeting reveals some interesting details on how our finances might be affected due to the Iran war.
1. Interest rates may rise later this year due to "uncertainty around the severity and duration" of the war. 2. In a worst-case scenario, six rate rises could be on the way, taking the base rate to 5.5% and increasing borrowing costs for millions. 3. Over the next three years, average monthly mortgage payments are expected to rise by £80 for those moving to new deals. 4. About 53% of UK mortgage holders are expected to see their payments rise, but around 25% of those who fixed at higher rates may see their payments fall. 5. Domestic energy bills are set to rise "close to £1,900" in July and stay there for the rest of the year, with nearly 40% of households on fixed tariffs protected from higher prices until their contracts end.