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More than five million households could see their annual mortgage payments rise by an average of £5,100 between now and the end of 2024, a leading think tank has warned.

In total, mortgage payments are set to rise annually by £26bn over the next two years, according to the Resolution Foundation.

Affected households in London will see the biggest increase, with average payments projected to rise by £8,000 over this period – more than twice the level of the £3,400 increase experienced by households in Wales.

The impact in London will be concentrated, however, as less than a fifth (19%) of households there have a mortgage.

“Households across Britain are currently living through an inflation-driven cost-of-living crisis as pay packets shrink and energy bills rise,” said Lindsay Judge, research director at the Resolution Foundation.

“With almost half of all mortgagor households on course to see their family budgets fall by at least 5% from higher payments, the living standards pain from rising interest rates will be widespread.”

While some homeowners on variable rate deals will see their costs increase immediately, the impact on the majority of mortgaged homeowners, who are on fixed-rate mortgages, will build over the coming years as they move off lower rates on to new deals, the think tank added.

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Mortgages have been one of the many areas thrown into chaos following the government’s mini-budget at the end of September.

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Mortgage burden to hit 80s levels

Average two-year fixed mortgage rate now at highest level since 2008

The number of deals on the market nosedived after former chancellor Kwasi Kwarteng announced his fiscal policy in the House of Commons.

Lenders have gradually been bringing back new deals, but have increased their rates in doing so, with the average two and five-year fixed mortgage rates at their highest levels since 2008, standing at 6.47% and 6.29% respectively.

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On Friday, 3,112 mortgage products were on the market, compared with 3,961 on the day of the mini-budget, according to Moneyfacts.co.uk.

The Resolution Foundation explained that by early 2025, half of all mortgaged households will have seen higher mortgage costs absorb at least 5% of their net income, according to its current projections.

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Mortgages: Your questions answered

Higher interest rates will create ‘winners’ and ‘losers’

Higher income households will face the biggest increases in mortgage costs in cash terms on average, it added, but warned that lower income families will face the biggest rise as a share of their income.

Some households may be able to avoid higher costs by using savings to reduce their mortgage balance, or by downsizing to a less expensive home.

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The think tank also noted that a period of higher interest rates will create “winners” and “losers”, with some people able to benefit from the increased rates, such as retired savers or those who are saving up to buy their first home.

“Regardless of how the future unfolds, it is fair to assume that higher interest rates will cause not only (often serious) problems for a very large number of households, but have significant political ramifications as well,” the foundation stated.

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British man, 27, dies after avalanche at French Alps ski resort

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British man, 27, dies after avalanche at French Alps ski resort

A British man has died after an avalanche at a ski resort in the French Alps, local officials say.

The 27-year-old man died after being buried in snow at a ski resort and carried about 15m (49ft) by the avalanche’s force, according to local prosecutor Benoit Bachelet.

The incident occurred at Val Thorens ski resort in the Savoie region of southwest France, shortly after 10am on Thursday.

Mr Bachelet said nearby police officers were alerted to the incident by a witness, and the British man was pulled out of the snow.

He added officers gave first aid to the man, who had entered cardiac arrest.

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He was taken to hospital in Grenoble, in the Auvergne-Rhone-Alpes region, where he died that evening, Mr Bachelet said.

An investigation into the incident has been opened by the regional prosecutor’s office.

The prosecutor said the victim’s family were being supported by local services.

A Foreign Commonwealth and Development Office spokesperson said: “We are supporting the family of a British man who died in France and are in contact with the local authorities.”

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Joe Thompson: Former Rochdale footballer dies aged 36 after third cancer diagnosis

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Joe Thompson: Former Rochdale footballer dies aged 36 after third cancer diagnosis

Former Rochdale player Joe Thompson has died aged 36.

His former club said it was “devastated” to learn of his death.

Thompson, who retired in 2019, was diagnosed with cancer for a third time last year.

In its statement, Rochdale FC said he died “peacefully at home on Thursday, with his family by his side”.

He made over 200 appearances for Rochdale, who he joined from Manchester United‘s academy in 2005.

The club posted a tribute on X, describing the former midfielder as “a warm personality who had a deep connection with our club from a young age”.

In her tribute on Instagram, Thompson’s wife Chantelle said he had “made such an impact on so many people” and he was “the most incredible husband, son, brother, friend and father”.

During his career, he played for Tranmere Rovers, Bury and Carlisle United, with spells on loan at Wrexham and Southport.

He was first diagnosed with Hodgkin lymphoma in 2013, while playing for Tranmere.

When Thompson rejoined Rochdale from Carlisle in 2016 the disease soon returned, but he confirmed he was cancer free in June 2017.

Two years later, he announced his retirement at the age of 29, saying his body had been pushed “to the limit” having twice undergone treatment for cancer.

Last year, he revealed he had been diagnosed with stage four lymphoma which had spread to his lungs.

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Hodgkin lymphoma is a relatively aggressive type of cancer that can spread quickly through the body, according to the NHS.

Rochdale, who face Altrincham on Friday, have confirmed that players will wear black armbands during the National League match.

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Essex Police: Senior officer sacked for sexual contact with woman while on duty

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Essex Police: Senior officer sacked for sexual contact with woman while on duty

A senior police officer has been sacked after he had sexual contact with a woman while on duty.

The police watchdog found Tom Simons, a chief superintendent with Essex Police, abused his position for a sexual purpose with two women – including by touching a colleague inappropriately and failing to disclose a relationship with one of them.

The Independent Office for Police Conduct (IOPC) said he continued with his behaviour despite being reminded of the importance of maintaining professional boundaries.

The case was first referred to the IOPC in March 2022 after multiple allegations, Essex Police said.

Mr Simons was suspended from duty and interviewed under criminal caution by the IOPC, which executed a search warrant of his house and checked his phone and other devices as part of an investigation.

The case was referred to the Crown Prosecution Service (CPS) in January 2024 to consider charges relating to alleged sexual offences, coercive control and misconduct in public office, but it was decided he would not be charged with any criminal offences, the IOPC said.

A disciplinary panel chaired by Bedfordshire Police’s assistant chief constable found Mr Simons had committed gross misconduct and breached the police professional standards of behaviour.

Mr Simons denies all the allegations.

He was dismissed without notice after the misconduct hearing concluded this week. He will also be placed on the College of Policing barred list.

IOPC director Emily Barry said she “would like to praise the courage of the women” who came forward.

“They faced pressure from him as a senior officer, but it’s thanks to them that our investigation was able to gather the strong evidence that was put before the panel at the misconduct hearing, resulting in his dismissal,” she added.

“He has deservedly lost his job and it’s behaviour like this that damages the public’s trust and confidence in police officers.”

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Ben-Julian Harrington, chief constable of Essex, said there was “simply no place in policing for people who think, wrongly, that they can get away with sexual misconduct”.

“I will be completely frank. This case is particularly disappointing given the seniority of the former officer,” he added.

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