Shadow Chancellor talks mortgages in Finchley & Golders Green

The Shadow Chancellor joined Labour's Parliamentary candidate for Finchley and Golders Green Sarah Sackman for a walkabout in East Finchley on Thursday (February 2).

The visit was to raise the issues and consequences that mortgages are likely to go up by an average of £7,490 a year.

Analysis by the Labour Party shows predicted annual increases in costs for a median house purchase at 80% mortgage in every constituency in the UK.

• READ MORE: Average monthly tracker mortgage payment jumps by nearly £50 following rate hike
• READ MORE: First-time buyers ‘may need to lower ambitions’ as rates hiked further

Unsurprisingly London seats top the ranking, with the highest rises expected in Kensington, where costs are set to soar by £13,980.

Richmond Park could see mortgages go up by £9,040, Hampstead and Kilburn by £8,740 and Westminster North by £8,450, according to the analysis.

Sarah Sackman and Rachel Reeves MP went on a walkabout in East Finchley (Image: Labour Party)

Ms Reeves said: “The Tory mortgage penalty is devastating for family finances and is holding back our economy.

“The country is buckling under 13 years of Conservative mismanagement, and it is families being asked to pay more on their mortgage once again.

“People are asking themselves whether they or their family are better off under the Tories. The answer is no.

“By stabilising the economy, making it stronger and getting it growing, Labour will stop us lurching from crisis to crisis, and make Britain thrive again.”

A string of Bank of England base rate hikes have taken place over the past year, but borrowers on fixed-rate mortgages were cushioned from their immediate impact.

Some may get a shock when they come to renew.

Ms Sackman said: "We are seeing that house prices in London and places like East Finchley are more expensive than ever before and mortgage repayments have shot up and it means that young people and families wanting to get on the housing ladder, first time buyers, are really priced out.

Rachel Reeves MP and Sarah Sackman say high mortgage rates will hit homeowners and businesses hard (Image: Labour Party)

"I grew up in this area, I really want to see young people and young families succeed and they deserve to put down roots in the community where they grew up."

A senior Tory source said: “Under Labour, the number of first-time buyers fell to the lowest ever, the number of homes built the lowest ever, and homeownership was put out of reach for millions.

“The Labour Party… offer no real change on the issues that matter to the British people. We have a real plan to halve inflation this year and build a better Britain.”