ECB rates hike could help reduce house prices, says Varadkar

The European Central Bank is likely to announce another 0.75% increase in interest rates later today

Public Expenditure Minister Michael McGrath was more cautious in his remarks when asked if he believed the interest rates would lead to house prices falling.

Tanáiste Leo Varadkar has said the expected hike in mortgage rates could help “contain” or bring down house prices in Ireland.

The European Central Bank (ECB) on Thursday made another hike in interest rates adding 0.75% to its base rate. The rate hike, the third this year, will add further pain to homeowners already dealing with rising energy prices and grocery bills.