One in two mortgage borrowers fear losing their homes

A new poll from Savanta, commissioned by the Liberal Democrats, has found that one in two mortgage borrowers fear losing their homes as a result of interest rates growth.

The poll found that  46% of mortgage borrowers worried about losing their home with six in ten mortgage borrowers worried about cutting down on food bills as mortgage rates soar.

The figures follow the news that the average two-year fixed mortgage rate has reached a new 15-year high of 6.66 per cent.

A further 45% were worried about having to borrow from a friend or family to cover a bill, while 48% were worried about having to cancel a holiday.

The Liberal Democrats are calling for a Mortgage Protection Fund, which would offer targeted support of up to £300 a month to those families facing the steepest rise in mortgage costs and in danger of losing their homes. This would be based on past schemes and be fully paid for by reversing Conservative tax cuts to big banks.

Liberal Democrat Leader Ed Davey said “Millions of homeowners are worried sick about losing their home to soaring mortgage rates, all because of the chaos unleashed by this Conservative government.”

“Rishi Sunak is refusing to lift a finger to help, instead treating homeowners like collateral damage. It’s clear we need targeted support to prevent families losing their homes through no fault of their own. There is a mortgage ticking time bomb about to go off and it cannot be ignored any longer.”

To what extent, if at all, are you worried about the following as a result of higher housing costs (i.e. rent, mortgage bills): Respondents who own with a mortgage or loan

	NET: Worried in June 2023
Having to cut down on food bills	61%
Defaulting on a payment	48%
Having to borrow from a friend or family to cover a bill	45%
Losing your home because of unpaid bills	46%
Having to cancel a holiday to cover a bill	48%
Having to cancel a DIY project to cover a bill	42%
Having to downsize to a smaller property	41%