The more than 9,000 Barnet families who are remortgaging in 2023 will see a typical increase of £2,300 in their annual payment, due to Tory economic incompetence.

Interest rates have soared after the Conservatives crashed the economy with their inept 2022 budget. Thousands of Barnet residents will pay the price with average monthly payments up by almost £200.

The average £2,300 annual figure was revealed by analysis by the independent Resolution Foundation and will hit 1.6 million households across the UK. The cost to Barnet households combined is projected by the think tank to be more than £21million.

The analysts expect more pain to come with some predicting rates will go as high as 5.75%, with mortgage stress levels set to hit heights not seen since the 1980s. The Resolution Foundation estimates that families have only experienced about one third of the £12 billion increase in total annual repayments that we expect to see by 2026.

Barnet Labour Leader Barry Rawlings said:

“The Conservatives crashed the economy with a budget that didn’t add up and people are paying the price. The Tory mortgage penalty is driving up housing costs at a time when their cost-of-living crisis is pushing families to the edge.

“Barnet Conservatives proposed a budget with cuts that finance officers had advised caution about. Thankfully, Barnet is benefitting from a sound and responsible Labour budget, that’s enabled us to put £9million to support those hit hardest by the Tory cost of living crisis.

“But we can only do so much from Barnet Council. Only a national Labour Government can bring the competence and responsibility needed to tackle spiralling costs, put the NHS back on its feet and get the country working again. We need a General Election as soon as possible.”