Interest rate rises threaten massive default

HOUSING charities are warning interest hikes could force tens of thousands into default as it was revealed more than 36,000 debt-ridden householders are three months or more behind with mortgage payments.

In a further blow to hopes that the economy is stabilising, figures also show consumer spending has declined once again.

According to the Central Statistics Office (CSO), retail sales fell 0.1% by volume in the 12 months to July and 0.2% from June. It was the first year-on-year drop in sales since January.