London homeowners will see their annual bill jump by up to £7,300 when they remortgage this year as 3.5 million borrowers face a rate shock.
Nationally, homeowners will have to spend nearly an extra £9bn in interest over 2023 and 2024 as they are forced to refinance at rates that are double what they are used to, according to the Centre for Economics and Business Research.
In total, 2.5 million homeowners will come to the end of fixed rate deals across 2023 and 2024 while a further one million are on variable rate deals.
Mortgage rates have soared after higher than expected April inflation data spooked financial markets and brought much higher expectations of future borrowing costs.