UK mortgage rate crisis driving record rent squeeze as landlords pass higher costs on to tenants

Homelessness charity says hundreds of thousands of people could be left unable to cover their rent and at risk of losing homes

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Millions of renters across the UK are being squeezed by landlords passing on higher mortgage costs to their tenants, contributing to record rent increases amid the cost of living crisis.

Property experts and charities warned the rapid rise in borrowing costs set by the Bank of England – which this week increased rates to 5% – was having a far broader impact than on owner-occupiers’ mortgage costs, with potential to trigger a wider crisis in affordable housing.