Phoebus comment on today's inflation drop: "borrowers will find things easier"
15 January 2025
Richard Pike, chief sales and marketing officer at Phoebus, said: “Even with today's unexpected drop in inflation, we start 2025 with mixed market indicators; inflation and Government borrowing above target (albeit not unexpected under new Government economic policies), but house prices continuing to rise and interest rates are likely to reduce as the year progresses.
“From a borrower perspective, lowering interest rates and increasing house prices are the headlines that will be heard. Positively, this means lending volumes will increase this year and borrowers in financial hardship who are on variable rates will find things easier as rates decrease. This should also mean borrowers coming off fixed rates later in the year will not get as much of a payment shock".
