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Government Legislation

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Money lenders in the UK have been urged to reduce their interest rates in line with that of the Bank of England.

The bank’s monetary policy committee has cut its base rate of interest but the National Association of Estate Agents (NAEA) is concerned that this decision will not filter through to the real economy or to the pockets of hard-up homeowners.

Families across Britain are seeing their debt management woes worsen and unless mortgage providers and money lenders change their policies, there will be little relief for household finances, the NAEA has suggested.

The association’s chief executive Peter Bolton King commented: "It is now more critical than ever that mortgage lenders adopt a similar approach and lower mortgage rates in line with today’s drop."

According to figures compiled by Credit Action, British households pay a collective total of £259 million in interest every day.

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