Broker: Shop around for best mortgage deal

Home-owners can effectively undo the impact of today’s rate rise by shopping around, according to Peter Bastable, chief executive of broker Simply Mortgages.

“Not all lenders are dealing with these rate rises in the same way,” Mr Bastable said today. “Some are passing on the full increase to their customers.

"Others are only passing on a portion of the pain. One (permanent tsb) has only passed on about half of the combined rise in rates of .5% since last November.”

He says that switching mortgage-type rather than broker is another option for worried borrowers.

“The mortgage market has never been so competitive, so whatever you do don’t just sit there and take the hit without checking out whether there’s anything you can do to avoid the pain,” he said.