The figures were obtained by Sir Steve Webb, a former Liberal Democrat pensions minister
Young home buyers are being forced to gamble with their retirement prospects by taking on ultra-long mortgages, according to a former pensions minister.
Under-30s made up 3,676 of these mortgages, people aged 50 to 59 accounted for 18,854, 60 to 69-year-olds made up 4,955 and people aged 70-plus made up 661. Even if mortgages only run up to pension age, it deprives people of a period running up to retirement when they could be mortgage-free and boosting their pension, he said.
"We already know that millions of people are not saving enough for their retirement and if some of that limited retirement saving has to be used to clear a mortgage balance at retirement they will be at even greater risk of poverty in old age. She said that building societies recognise the need to consider different income and expenditure sources and needs, different lifestyle risks, different capacity to weather financial shocks.
Mortgage rates have been creeping up in recent weeks, as lenders have adjusted expectations over a base rate cut. According to financial information website Moneyfacts, the average two-year fixed homeowner mortgage rate on Friday was 5.94%, up from 5.93% on Thursday.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Sir Jim Ratcliffe and Sir Dave Brailsford are doing what was expected at Man UtdLeading Ineos members have attended several Man United fixtures since their investment in the club was confirmed.
Read more »
He’ll never be forgotten – Sir Jackie Stewart pays tribute to Sir Stirling MossStewart, Christian Horner, Nigel Mansell and Damon Hill were among those attending a thanksgiving service in Moss’ memory on Wednesday.
Read more »
He’ll never be forgotten – Sir Jackie Stewart pays tribute to Sir Stirling MossStewart, Christian Horner, Nigel Mansell and Damon Hill were among those attending a thanksgiving service in Moss’ memory on Wednesday.
Read more »
He’ll never be forgotten – Sir Jackie Stewart pays tribute to Sir Stirling MossStewart, Christian Horner, Nigel Mansell and Damon Hill were among those attending a thanksgiving service in Moss’ memory on Wednesday.
Read more »
Sir Alex Ferguson’s Man Utd Champions League final team baffled Steve McClarenManchester United boss Sir Alex Ferguson was forced into making big changes for the 1999 Champions League final against Bayern Munich, which assistant Steve McClaren wasn't sure of
Read more »
Olympic prize money will divide athletes says Sir Steve RedgraveFive-time Olympic champion Sir Steve Redgrave has warned paying prize money to athletics gold medallists at Paris 2024 will divide athletes.
Read more »