Interest Rates

Irish mortgage holders brace for further pain as interest rates rise again

More pain is in store for mortgage holders and there’s an increased risk of more of them going into arrears

Christine Lagarde, the ECB President, last month avoided any signal of her intentions for the decision to hike again. Picture: Alex Kraus

The European Central Bank’s (ECB) decision to raise interest rates by 25 basis points to 4 per cent is likely to cause more financial distress for Irish mortgage holders, experts have warned.

Rachel McGovern, director of financial services at Brokers Ireland said the ECB had gone too far with this latest hike, its tenth consecutive increase.

“This ECB policy is in our view going too far too fast and it is going to put a ...