Typical new mortgage costs soar £788 a year in two weeks

A typical mortgage taken out now is £788 a year more expensive than before the Iran war began, new data has revealed.

The figures, compiled by financial information service Moneyfacts, show how lenders have hiked rates and withdrawn deals since the US-Israel strikes on Iran began at the end of February.

For a typical mortgage, that means a five-year fixed deal is now £651 more expensive than a fortnight ago, Moneyfacts said.

The data shows 689 fewer mortgage products are available than on 9 March, representing almost a tenth of the market.