UK mortgage rates jump again<\/p>\n
Oof! Average UK mortgage rates have jumped this morning.<\/p>\n
Data provider Moneyfacts has reported that the average 2-year fixed residential mortgage rate has risen to 5.20% today, up from 5.10% on Friday. It was just 4.84% on the eve of the US-Israeli war on Iran last month.<\/p>\n
The average 5-year fixed residential mortgage rate today is 5.25%, up from 5.19%.<\/p>\n
That reflects rising expectations in the City that the Bank of England will not cut interest rates this year, and is likely to raise from back to 4% (from 3.75%) today by summer 2027.<\/p>\n
[although, as flagged earlier<\/a>, Goldman Sachs still expect two rates cuts this year].<\/p>\n Moneyfacts also shows a drop in the number of residential mortgages on the market \u2013 down to 6,972 today, from 7,106 at the end of last week.<\/p>\n Share<\/a><\/p>\n Key events<\/p>\n Show key events only<\/p>\n Please turn on JavaScript to use this feature<\/p>\n Building materials group CRH to delist from London Stock Exchange.<\/p>\n The City is losing one of its bigger names, with building materials group CRH announcing it will delist from the London Stock Exchange.<\/p>\n The move comes two and a half years afer CRH, which is valued at \u00a350bn, moved its primary stock market listing to the US from London.<\/p>\n CRH attributes the decision to the level of trading activity for its ordinary shares on the LSE as well as the additional cost, regulatory and administrative obligations arising from retaining the LSE listings.<\/p>\n Susannah Streeter, chief investment strategist at Wealth Club, says:<\/p>\n double quotation mark\u201cThe delisting of CRH isn\u2019t a complete surprise, given that it had already switched its main listing to New York and three quarters of its profits are reliant on its operations in North America. However, with yet another big name heading Stateside, it will still be a significant blow to the London Stock Exchange.<\/p>\n It comes after a flurry of other companies have taken flight from the UK to seek greater fortune under a New York listing. At the same time, there has also been a trend of global giants swallowing big fish from the UK pond, with acquisitions such as Schroders by Nuveen still front of mind. Each high-profile departure shrinks the UK\u2019s listed market and reinforces the perception that companies are finding deeper pools of capital and higher valuations across the Atlantic.<\/p>\n Share<\/a>Oil dips after loading resumes at UAE’s Fujairah port after drone attack<\/p>\n The oil price has dropped back, following reports that oil loading operations have resumed at the United Arab Emirates port of Fujairah after a drone attack.<\/p>\n Exports from Fujairah were disrupted after the attack triggered a fire in the emirate\u2019s petroleum industrial zone, but Reuters reports that operations have now resumed.<\/p>\n Civil defense teams were working to control the blaze, the Fujairah government media office said in a statement, adding that no casualties were reported.<\/p>\n Share<\/a><\/p>\n Greenpeace have welcomed the UK government\u2019s pledge of support for those on heating oil<\/a>, while emphasising the need to shift off fossil fuels.<\/p>\n Paul Morozzo, senior climate campaigner for Greenpeace UK, says:<\/p>\n double quotation mark\u201cHouseholds dependent on heating oil are at the sharp end of Trump\u2019s chaotic war on Iran, which has rapidly pushed up the price of oil and gas.<\/p>\n It\u2019s vital for the government not to abandon people to the profiteering suppliers of volatile fossil fuels, but while citizens can be protected to some extent the UK will still be paying inflated prices, even if it\u2019s on our taxes rather than our bills. The only way to achieve long-term stability in energy prices is to get off the fossil fuel rollercoaster and accelerate the transition to clean, homegrown energy sources we can control.\u201d<\/p>\n Share<\/a>UK government to spend \u00a353m helping rural communities with rising cost of heating oil<\/p>\n Sir Keir Starmer has announced \u00a353m of support for rural communities to help with the rising cost of heating oil.<\/p>\n At a press conference this morning, the prime minister said energy companies should not profit from price rises caused by the war, and reassured households that the planned fall in the energy price cap from April to June will take place.<\/p>\n And on heating fuel, he says:<\/p>\n double quotation markThe CMA [Competition and Markets Authority] reported last week what every heating oil customer already knows. There are accounts of suppliers cancelling orders and jacking up prices. Now that kind of conduct is completely unacceptable. So if the companies have broken the law there will be legal action.<\/p>\n Because it\u2019s clear this market is under regulated, we\u2019re going to put that right to ensure customers get a better deal.<\/p>\n But we won\u2019t just wait for that. I\u2019m announcing immediate support for vulnerable heating oil customers today, providing \u00a353m for those households that are most exposed.<\/p>\n Our Politics Live blog has full coverage of the press conference, where Starmer is being quizzed about the Iran war<\/p>\n Share<\/a>UniCredit launches \u2018unfriendly’ takeover bid for Commerzbank<\/p>\n Alex Daniel<\/p>\n Two European banking powerhouses have become embroiled in a \u20ac35bn (\u00a330bn) takeover battle after Italy\u2019s UniCredit stepped up its long-running pursuit of German lender Commerzbank, despite strong opposition from the German government.<\/p>\n UniCredit first took a stake of 9% in Commerzbank in September 2024 and has since built up its holding to just under 30%. It said on Monday it was pushing to increase that holding further and push the rival lender into formal merger talks.<\/p>\n Under German law, a shareholder that has a more than 30% stake is required to make a takeover bid. The Milan-headquartered bank said on Monday it was planning a share swap that would imply a \u20ac30.8 price per Commerzbank share, or about \u20ac34.7bn in total. Commerzbank\u2019s share price rose to \u20ac31.30 on Monday in early trading.<\/p>\n Share<\/a>UK mortgage rates jump again<\/p>\n Oof! Average UK mortgage rates have jumped this morning.<\/p>\n Data provider Moneyfacts has reported that the average 2-year fixed residential mortgage rate has risen to 5.20% today, up from 5.10% on Friday. It was just 4.84% on the eve of the US-Israeli war on Iran last month.<\/p>\n The average 5-year fixed residential mortgage rate today is 5.25%, up from 5.19%.<\/p>\n That reflects rising expectations in the City that the Bank of England will not cut interest rates this year, and is likely to raise from back to 4% (from 3.75%) today by summer 2027.<\/p>\n [although, as flagged earlier<\/a>, Goldman Sachs still expect two rates cuts this year].<\/p>\n Moneyfacts also shows a drop in the number of residential mortgages on the market \u2013 down to 6,972 today, from 7,106 at the end of last week.<\/p>\n Share<\/a>Houmous and pet grooming added to UK inflation basket<\/p>\n Houmous, alcohol-free beer, pet grooming, motorhomes and dashboard cameras have all been added to the basket of goods used to track UK inflation.<\/p>\n The Office for National Statistics has decided to include these items, as part of its regular adjustment to the products it tracks to measure the cost of living.<\/p>\n To make space in the virtual basket, bottled premium lager bought in pubs and restaurants have been ejected. The ONS will also ditch sheets of wrapping paper in favour of rolls of wrapping paper, which are easier to track.<\/p>\n Share<\/a>Tell us: has the conflict in the Middle East affected your household or business costs?<\/p>\n We\u2019d like to hear from people in the UK who have seen the cost of goods or services increase or experienced delays, cancellations or other disruptions\u2026..<\/p>\n Share<\/a><\/p>\n Goldman Sachs are still predicting the Bank of England will cut interest rates this year.<\/p>\n In their baseline forecast, Goldman economists see the next rate cut in July, followed by further quarter-point cuts in November and February, bringing Bank rate down to 3%.<\/p>\n That\u2019s at odds with the money markets, which are indicating rates will rise back to 4%, from 3.75% today, next year.<\/p>\n Like pretty much everyone else in the City, it seems, Goldman also expect the Bank of England to hold Bank Rate unchanged at Thursday\u2019s meeting.<\/p>\n They predict a 7-2 vote split \u2013 with policymakers Swati Dhingra and Alan Taylor preferring a 25bp rate reduction.<\/p>\n Goldman predict:<\/p>\n double quotation markThe minutes will probably acknowledge that the latest energy futures prices suggest that headline inflation is likely to remain above target for longer than previously expected, while stressing that the path ahead is highly unpredictable. We think that the Committee will indicate that it is alert to the possibility of second-round effects and will likely assess that the risk of persistence in underlying inflation has increased. That said, we expect the minutes to reiterate that risks remain two-sided given continued labour market weakness.<\/p>\n We expect the Committee to refrain from offering a strong steer on the near-term policy outlook, noting that in the current context of elevated uncertainty it will decide the appropriate degree of restriction at each meeting. But we think that the guidance will indicate that additional policy easing remains likely if energy prices fall back.<\/p>\n Share<\/a>A chart showing how oil prices have risen since the start of the Iran war<\/a>Share<\/a><\/p>\n Updated at\u00a005.25 EDT<\/p>\n","protected":false},"excerpt":{"rendered":"UK mortgage rates jump again Oof! Average UK mortgage rates have jumped this morning. 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