Group links Britons’ election vote to mortgage costs

How Britons vote in the general election in three months could determine the cost of their mortgage.

Analysis by the National Institute of Economic and Social Research of the three main political parties’ implied fiscal plans shows interest rates would rise marginally faster over the next four years under Labour and the Liberal Democrats than if Prime Minister David Cameron’s Conservatives form the next government.

That’s because the slower pace of deficit reduction envisaged by Labour and the Liberal Democrats would stimulate faster economic growth and employment, prompting the Bank of England to raise rates sooner, Niesr predicts.