What the papers said about interest rates and election pledges

With the general election confirmed for the 12th December, the weekend’s financial press highlighted the potential policy pledges and the impact they might have on our economy. The Times looked at the future of interest rates, which will be dependant not only on the outcome of the election itself, but also the type of Brexit the UK ends up with. The Telegraph, meanwhile, reported on the varying party pledges when it comes to tax. Labour, for example, have called for stamp duty to be scrapped entirely for buyers who intend to live in the property, while Boris Johnson has proposed an exemption on all homes worth £500,000 or less. Aside from the ongoing political uncertainty, there was good news for borrowers in the form of falling interest rates. Lenders are reportedly struggling to hit their end of year targets due to the property slowdown, and have cut rates to attract customers. The Sunday Times highlighted a reduction in 5-year fixed rates, with a couple of high street lenders launching sub-1.5% deals in recent weeks, a move which pushes longer term deals much closer to two year fixed rates.