A survey by the Building Societies Association has stated that over half of Britain’s home owners will have trouble should the interest rate rise.

The research revealed that 10 per cent would experience serious financial problems where another 41 percent would struggle or may encounter some difficulty.

The head of BSA mortgage policy, Paul Broadhead, states “There are at least 1.85m home owners who have never experienced a rate rise and we have a record low Bank Base Rate for so long, so it is unsurprising some people are concerned that a rise in rates will affect their lifestyles and ability to make mortgage repayments”.

With such low inflation at the moment the hope is interest rates will remain the same until next spring.