The number of available mortgage deals in the UK fell after predictions of higher interest rates. EPA
The number of available mortgage deals in the UK fell after predictions of higher interest rates. EPA
The number of available mortgage deals in the UK fell after predictions of higher interest rates. EPA
The number of available mortgage deals in the UK fell after predictions of higher interest rates. EPA

UK mortgage deals disappear from market


Matthew Davies
  • English
  • Arabic

The number of available mortgage deals is shrinking in the wake of last week's inflation figures and the correspondingly revised forecasts for interest rates.

Since last week, the number of residential home loan products available in the UK dropped by 390, or more than 7 per cent, to 4,995 by Wednesday, according to data company Moneyfacts.

Saturday was the biggest one-day decline so far this year, with the number of products now at its lowest since March.

West Bromwich Building Society, Darlington Building Society, Clydesdale Bank, Furness Building Society and Accord Mortgages all reportedly withdrew selected products from the market.

The disappearing mortgage deals are a direct consequence of April's inflation figures, released last week, which showed while headline inflation had fallen, core inflation increased.

The Consumer Prices Index (CPI) rose by 8.7 per cent in the year to April, down from 10.1 per cent in March. But annual core inflation, which strips out food and fuel costs, rose by 6.8 per cent in April, up from 6.2 per cent in the previous month. and the highest rate since March 1992.

This has led analysts to forecast that interest rates will rise by more and for longer than had previously been predicted. Most economists see interest rates now peaking at 5.5 per cent this year, up from the current 4.5 per cent.

Last week, former member of the Bank of England's rate-setting Monetary Policy Committee, Willem Buiter, said that 4.5 per cent would “not do the job”, while predicting a peak of “no less than 6 per cent”.

There had been some concern in the mortgage market even before the inflation data was released last Wednesday – swap rates, which effectively set the price of borrowing that lenders use to fund mortgages, crept up by almost 1 per cent in April.

Not only did mortgage lenders begin increasing the rates on their new products, they also started to remove others from the market.

“Over the past few days, we have seen a few lenders withdraw selected fixed products, with some pulling out of the market,” said Rachel Springall, a finance expert at Moneyfacts.

“Product choice has started to fall, and as may be expected, average fixed mortgage rates are on the rise.”

An estate agent in London. The number of mortgage deals on the market dropped last weekend. Getty Images
An estate agent in London. The number of mortgage deals on the market dropped last weekend. Getty Images

Nonetheless, while the UK mortgage market is experiencing a drop in the number of deals, there are still more and cheaper deals than there were following the ill-fated mini budget of the Truss government last October.

The interest rates on mortgage products that are available have risen as well.

The average rate on a two-year fixed deal is now 5.45 per cent and the average rate on a five-year fixed is 5.12 per cent.

A year ago, those rates were 3.03 per cent and 3.17 per cent respectively.

Home sales falling

Meanwhile, figures released from HM Revenue and Customs showed that home sales plunged by a quarter in April, compared with the same month last year.

An estimated 82,120 transactions took place in April, down 25 per cent on the same month in 2022.

In addition, residential property sales were 8 per cent lower in April when compared to the previous month, a drop the HMRC referred to as “particularly large”.

Part of the drop was put down to March being the final month for purchases to be completed under the government's Help To Buy equity loan scheme.

“This disappointing number, combined with the recent equally disappointing inflation figures and the resulting increases in market expectations for interest rates, mean that the housing market slowdown is likely to be longer and deeper than we originally anticipated.” Mike Scott, chief analyst at estate agency Yopa.

While spring and summer months are traditionally busy times in the residential real estate market, analysts say this year is different.

“While inflation has finally started its descent, high mortgage rates could continue to put a dampener on transactions as moving home or taking the first step on to the property ladder becomes increasingly unaffordable,” said Karen Noye, a mortgage expert at Quilter.

Results

Catchweight 60kg: Mohammed Al Katheeri (UAE) beat Mostafa El Hamy (EGY) TKO round 3

Light Heavyweight: Ibrahim El Sawi (EGY) no contest Kevin Oumar (COM) Unintentional knee by Oumer

Catchweight 73kg:  Yazid Chouchane (ALG) beat Ahmad Al Boussairy (KUW) Unanimous decision

Featherweight: Faris Khaleel Asha (JOR) beat Yousef Al Housani (UAE) TKO in round 2 through foot injury

Welterweight: Omar Hussein (JOR) beat Yassin Najid (MAR); Split decision

Middleweight: Yousri Belgaroui (TUN) beat Sallah Eddine Dekhissi (MAR); Round-1 TKO

Lightweight: Abdullah Mohammed Ali Musalim (UAE) beat Medhat Hussein (EGY); Triangle choke submission

Welterweight: Abdulla Al Bousheiri (KUW) beat Sofiane Oudina (ALG); Triangle choke Round-1

Lightweight: Mohammad Yahya (UAE) beat Saleem Al Bakri (JOR); Unanimous decision

Bantamweight: Ali Taleb (IRQ) beat Nawras Abzakh (JOR); TKO round-2

Catchweight 63kg: Rany Saadeh (PAL) beat Abdel Ali Hariri (MAR); Unanimous decision

WITHIN%20SAND
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UAE currency: the story behind the money in your pockets
In numbers: PKK’s money network in Europe

Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010

Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille

Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm

Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year

Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”

Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners

TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013 

Countries offering golden visas

UK
Innovator Founder Visa is aimed at those who can demonstrate relevant experience in business and sufficient investment funds to set up and scale up a new business in the UK. It offers permanent residence after three years.

Germany
Investing or establishing a business in Germany offers you a residence permit, which eventually leads to citizenship. The investment must meet an economic need and you have to have lived in Germany for five years to become a citizen.

Italy
The scheme is designed for foreign investors committed to making a significant contribution to the economy. Requires a minimum investment of €250,000 which can rise to €2 million.

Switzerland
Residence Programme offers residence to applicants and their families through economic contributions. The applicant must agree to pay an annual lump sum in tax.

Canada
Start-Up Visa Programme allows foreign entrepreneurs the opportunity to create a business in Canada and apply for permanent residence. 

About RuPay

A homegrown card payment scheme launched by the National Payments Corporation of India and backed by the Reserve Bank of India, the country’s central bank

RuPay process payments between banks and merchants for purchases made with credit or debit cards

It has grown rapidly in India and competes with global payment network firms like MasterCard and Visa.

In India, it can be used at ATMs, for online payments and variations of the card can be used to pay for bus, metro charges, road toll payments

The name blends two words rupee and payment

Some advantages of the network include lower processing fees and transaction costs

UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
Global state-owned investor ranking by size

1.

United States

2.

China

3.

UAE

4.

Japan

5

Norway

6.

Canada

7.

Singapore

8.

Australia

9.

Saudi Arabia

10.

South Korea

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%3Cp%3EHigh%20fever%20(40%C2%B0C%2F104%C2%B0F)%3Cbr%3ESevere%20headache%3Cbr%3EPain%20behind%20the%20eyes%3Cbr%3EMuscle%20and%20joint%20pains%3Cbr%3ENausea%3Cbr%3EVomiting%3Cbr%3ESwollen%20glands%3Cbr%3ERash%26nbsp%3B%3C%2Fp%3E%0A
Sri Lanka World Cup squad

Dimuth Karunaratne (c), Lasith Malinga, Angelo Mathews, Thisara Perera, Kusal Perera, Dhananjaya de Silva, Kusal Mendis, Isuru Udana, Milinda Siriwardana, Avishka Fernando, Jeevan Mendis, Lahiru Thirimanne, Jeffrey Vandersay, Nuwan Pradeep, Suranga Lakmal.

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Profile of Bitex UAE

Date of launch: November 2018

Founder: Monark Modi

Based: Business Bay, Dubai

Sector: Financial services

Size: Eight employees

Investors: Self-funded to date with $1m of personal savings

What is a Ponzi scheme?

A fraudulent investment operation where the scammer provides fake reports and generates returns for old investors through money paid by new investors, rather than through ligitimate business activities.

Emergency

Director: Kangana Ranaut

Stars: Kangana Ranaut, Anupam Kher, Shreyas Talpade, Milind Soman, Mahima Chaudhry 

Rating: 2/5

Tips for job-seekers
  • Do not submit your application through the Easy Apply button on LinkedIn. Employers receive between 600 and 800 replies for each job advert on the platform. If you are the right fit for a job, connect to a relevant person in the company on LinkedIn and send them a direct message.
  • Make sure you are an exact fit for the job advertised. If you are an HR manager with five years’ experience in retail and the job requires a similar candidate with five years’ experience in consumer, you should apply. But if you have no experience in HR, do not apply for the job.

David Mackenzie, founder of recruitment agency Mackenzie Jones Middle East

MATCH INFO

Liverpool v Manchester City, Sunday, 8.30pm UAE

Fines for littering

In Dubai:

Dh200 for littering or spitting in the Dubai Metro

Dh500 for throwing cigarette butts or chewing gum on the floor, or littering from a vehicle. 
Dh1,000 for littering on a beach, spitting in public places, throwing a cigarette butt from a vehicle

In Sharjah and other emirates
Dh500 for littering - including cigarette butts and chewing gum - in public places and beaches in Sharjah
Dh2,000 for littering in Sharjah deserts
Dh500 for littering from a vehicle in Ras Al Khaimah
Dh1,000 for littering from a car in Abu Dhabi
Dh1,000 to Dh100,000 for dumping waste in residential or public areas in Al Ain
Dh10,000 for littering at Ajman's beaches 

GAC GS8 Specs

Engine: 2.0-litre 4cyl turbo

Power: 248hp at 5,200rpm

Torque: 400Nm at 1,750-4,000rpm

Transmission: 8-speed auto

Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

FULL%20RESULTS
%3Cp%3E%3Cstrong%3EMiddleweight%20%3C%2Fstrong%3E%3C%2Fp%3E%0A%3Cp%3EEslam%20Syaha%20(EGY)%20bt%20Robin%20Roos%20(SWE)%20%0D%3Cbr%3E%3Cstrong%3E%0D%3Cbr%3EWelterweight%20%3C%2Fstrong%3E%3C%2Fp%3E%0A%3Cp%3EAlex%20da%20Silva%20(BRA)%20bt%20Bagyash%20Zharmamatov%20(KGZ)%20%0D%3Cbr%3EMurodov%20Samandar%20(TJK)%20bt%20Lucas%20Sampaio%20(BRA)%20%0D%3Cbr%3EShakhban%20Alkhasov%20(RUS)%20bt%20Salamat%20Orozakunov%20(KGZ)%0D%3Cbr%3EKhotamjon%20Boynazarov%20(UZB)%20bt%20Mikail%20Bayram%20(FRA)%20%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3EBantamweight%20%3C%2Fstrong%3E%0D%3Cbr%3EJieleyisi%20Baergeng%20(CHN)%20bt%20Xavier%20Alaoui%20(CAN)%20%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3EFlyweight%20%3C%2Fstrong%3E%0D%3Cbr%3ERashid%20Vagabov%20(RUS)%20bt%20Lun%20Qui%20(CHN)%20%0D%3Cbr%3EYamato%20Fujita%20(JPN)%20bt%20Furkatbek%20Yokubov%20(UZB)%20%0D%3Cbr%3EAaron%20Aby%20(WLS)%20bt%20Joevincent%20So%20(PHI)%20%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3ECatchweight%20176lb%20%3C%2Fstrong%3E%0D%3Cbr%3EMark%20Hulm%20(RSA)%20bt%20Erkin%20Darmenov%20(KAZ)%20%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3ECatchweight%20160lb%20%3C%2Fstrong%3E%0D%3Cbr%3ERustam%20Serbiev%20(BEL)%20bt%20Anar%20Huseyinov%20(AZE)%20%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3ECatchweight%20150lb%20%3C%2Fstrong%3E%3C%2Fp%3E%0A%3Cp%3EIslam%20Reda%20(EGY)%20bt%20Ernie%20Braca%20(PHI)%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3EFlyweight%20(women)%3C%2Fstrong%3E%20%0D%3Cbr%3EBaktygul%20Kurmanbekova%20(KGZ)%20bt%20Maria%20Eugenia%20Zbrun%20(ARG)%20%0D%3Cbr%3E%3C%2Fp%3E%0A
Profile of Whizkey

Date founded: 04 November 2017

Founders: Abdulaziz AlBlooshi and Harsh Hirani

Based: Dubai, UAE

Number of employees: 10

Sector: AI, software

Cashflow: Dh2.5 Million  

Funding stage: Series A

MATCH INFO

Chelsea 1
Alonso (62')

Huddersfield Town 1
Depoitre (50')

What to watch out for:

Algae, waste coffee grounds and orange peels will be used in the pavilion's walls and gangways

The hulls of three ships will be used for the roof

The hulls will painted to make the largest Italian tricolour in the country’s history

Several pillars more than 20 metres high will support the structure

Roughly 15 tonnes of steel will be used

Getting%20there%20and%20where%20to%20stay
%3Cp%3EFly%20with%20Etihad%20Airways%20from%20Abu%20Dhabi%20to%20New%20York%E2%80%99s%20JFK.%20There's%2011%20flights%20a%20week%20and%20economy%20fares%20start%20at%20around%20Dh5%2C000.%3Cbr%3EStay%20at%20The%20Mark%20Hotel%20on%20the%20city%E2%80%99s%20Upper%20East%20Side.%20Overnight%20stays%20start%20from%20%241395%20per%20night.%3Cbr%3EVisit%20NYC%20Go%2C%20the%20official%20destination%20resource%20for%20New%20York%20City%20for%20all%20the%20latest%20events%2C%20activites%20and%20openings.%3Cbr%3E%3C%2Fp%3E%0A
The bio

Favourite book: Peter Rabbit. I used to read it to my three children and still read it myself. If I am feeling down it brings back good memories.

Best thing about your job: Getting to help people. My mum always told me never to pass up an opportunity to do a good deed.

Best part of life in the UAE: The weather. The constant sunshine is amazing and there is always something to do, you have so many options when it comes to how to spend your day.

Favourite holiday destination: Malaysia. I went there for my honeymoon and ended up volunteering to teach local children for a few hours each day. It is such a special place and I plan to retire there one day.

ARSENAL IN 1977

Feb 05 Arsenal 0-0 Sunderland

Feb 12 Manchester City 1-0 Arsenal

Feb 15 Middlesbrough 3-0 Arsenal

Feb 19 Arsenal 2-3 West Ham

Feb 26 Middlesbrough 4-1 Arsenal (FA Cup)

Mar 01 Everton 2-1 Arsenal

Mar 05  Arsenal 1-4 ipswich

March 08 Arsenal 1-2 West Brom

Mar 12 QPR 2-1 Arsenal

Mar 23 Stoke 1-1 Arsenal

Apr 02  Arsenal 3-0 Leicester

HWJN
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Specs

Engine: 51.5kW electric motor

Range: 400km

Power: 134bhp

Torque: 175Nm

Price: From Dh98,800

Available: Now

Sole survivors
  • Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
  • George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
  • Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
  • Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
Updated: May 31, 2023, 11:39 AM`