UK mortgage rates set to rise as bond sell-off drives up borrowing costs – business live

UK mortgage rates set to rise as bond sell-off drives up borrowing costs – business live

UK mortgage lenders are expected to increase rates after a sharp sell‑off in government bonds lifted yields, raising borrowing costs for households. The market reaction follows concerns over inflation and fiscal policy, prompting lenders to adjust pricing to protect margins. Analysts warn higher mortgage costs could dampen demand for home loans and strain borrowers with variable‑rate mortgages.