§ 36. Mr. Neil TurnerTo ask the Chancellor of the Exchequer what the monthly interest payments on a standard rate mortgage of £40,000 over 25 years was in(a) June 1997 and (b) June 2002. [85286]
§ Ruth KellyThe information is as follows:
June 1997 June 2002 Average building society rates 6.98 per cent. 5.02 per cent. Monthly interest payments £232.67 £167.33 Annual repayments £2,792 £2,008
§ Mr. WebbTo ask the Chancellor of the Exchequer what assessment he has made of the proportion of new mortgage lending in each of the last 12 months has been at(a) variable and (b) fixed rates; and if he will make a statement. [86988]
§ Mr. McNultyI have been asked to reply.
The percentage of new mortgage lending in each of the past 12 months where the initial rate of interest has been (a) variable and (b) fixed as follows:
471W
New mortgages for house purchase Month Variable Fixed November 2001 68.1 31.9 December 2001 83.6 16.4 January 2002 67.4 32.6 February 2002 70.2 29.8
New mortgages for house purchase Month Variable Fixed March 2002 71.5 28.5 April 2002 73.9 26.1 May 2002 76.9 23.1 June 2002 79.1 20.9 July 2002 81.8 18.2 August 2002 82.6 17.4 September 2002 80.7 19.3 October 2002 77.3 22.7 Source:
ODPM Survey of Mortgage Lenders
It should be noted that most mortgages taken out at an initial fixed rate of interest will revert to a variable rate of interest after a fixed period of time, unless of course the borrower then chooses to remortgage at another fixed rate of interest.
The figures in the table are based on a variable sample of new mortgages ranging from 15,000 to 30,000 per month.