Helena Dollimore, Labour Parliamentary Candidate for Hastings and Rye 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 a crashed economy, 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. Labour will bring financial and economic security back, so that families are not constantly on a cliff edge, and so that we can urgently grow our economy to grab hold of opportunities of the future.
Liz Truss’ mini-budget crashed the economy, causing a surge in UK borrowing costs and higher interest rates - which lead to local families paying the price. This, together with high inflation, has led to over a million mortgage holders paying thousands more each year. The Labour Party has a target to achieve 70% of homeownership which will be reached through getting first time buyers on the ladder, reforming the private rented sector and building more high quality, affordable homes.
Labour analysis reveals that the average household in Hastings and Rye is set to be put under more pressure than ever by Conservative mismanagement of the economy. 9,200 families in Hastings and Rye are going to be hit by the Tory mortgage penalty as families face an annual mortgage payment increase of £3,200 this year under the Conservatives.
Part of Labour’s key approach to the economy includes tackling the mortgage crisis facing homeowners and renters. The regulator would be instructed to:
Require lenders to allow borrowers to switch to interest only mortgage payments for a temporary period.
Require lenders to allow borrowers to lengthen the term of their mortgage period.
Require lenders to reverse any support measures when the borrower requests.
Bringing in a Renters’ Charter ending ‘no-fault’ evictions and introduce four-month notice periods for landlords.