Two million to be hit by fixed-rate rises

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

Since the start of June nine mortgage providers have either shelved selected fixed deals or scrapped their entire range.

A further 30 banks and building societies have increased their rates by up to 0.7 per cent, according to data analyst Moneyfacts.co.uk.

Of those upping rates on their best deals, NatWest is the biggest offender, putting rates on fixed mortgages up by as much as 0.7 per cent.

It had a 6.09 per cent two-year fix last month, replaced with one at 6.79 per cent. The difference is £56 a month on a £130,000 mortgage or £1,344 over the two-year period.

First Active, part of the Royal Bank of Scotland, increased its two-year fixed-rate deal by 0.49 per cent from 5.65 per cent to 6.14 per cent this week.

Birmingham Midshires, part of Halifax, increased rates by 0.35 per cent to 6.74 per cent on its combined mortgage and personal loan.

The rises come despite the Bank of England base rate remaining at 5.5 per cent and experts are warning that some households could find their finances becoming stretched.

Some 820,000 borrowers will come off cheap two-year fixed rates as low as 4.29 per cent between August and December and two million in the next 18 months, according to the Council of Mortgage Lenders.

Personal finance website Fool.co.uk estimates that the average family has a £50-amonth shortfall in its budget. That deficit is even worse for the 15million households on less than the average income of £32,800.

Lisa Taylor, from Moneyfacts, said: "Anyone coming to the end of a fixed-rate deal will be in for a nasty shock when they see the increase in their monthly repayments."