Tax expert David Hannah, chairman of Cornerstone Tax, said: “We are seeing a new level of unaffordable house prices in the UK property market, and the property market is now becoming increasingly difficult to enter for first-time buyers.
“Renters will also feel the effects of today’s interest rate hike. They will find it more difficult to find available properties as landlords are set to experience higher mortgage rates which could deter them from renting their properties and look to sell instead.”
Samuel Fuller, director of Financial Markets Online, said: “Recession is expected, we might already be in one, and the latest hike will only exacerbate the trouble ahead for the UK housing market.
