Prime Minister Andy Burnham is facing mounting political pressure after the SNP accused him of breaking key promises to alleviate the cost-of-living crisis. The criticism comes as homeowners across the country face a punishing surge in mortgage costs, with average interest rates on new five-year fixed deals hitting 6% for the first time in three years, according to financial data service MoneyFacts.
The escalation in mortgage rates, driven by broader concerns over rising inflation, interest rates, and government borrowing costs, has placed household finances under intense strain. A new analysis by the House of Commons Library, commissioned by the SNP, highlights the significant financial impact on homeowners in Scotland. The data reveals that monthly interest payments on an average two-year fixed-rate mortgage have risen by £279 since 2021.
Specifically, in November 2021, an average £177,352 mortgage at a rate of 1.51% cost £657 per month. By July 2026, those same households saw their rates climb to 4.48%, pushing monthly payments to £936—a trajectory that has left many families roughly £3,348 per year worse off.
SNP MP Kirsty Blackman led the attack on the Prime Minister, claiming that Mr. Burnham is presiding over a period of economic decline. “Andy Burnham is breaking his promise to cut the cost of living as mortgage rates soar to new highs on his watch,” she said. “Burnham staked his reputation on his promise that he would cut the cost of living and deliver breathing space, but hard-pressed families are being hammered as household bills have gone up, not down, since he became Prime Minister.”
Blackman further compared the current administration to that of former Prime Minister Keir Starmer, arguing that the public is losing faith in the Labour government. She demanded that the government utilize the upcoming UK Budget to introduce a “meaningful package of measures” to reduce bills and support struggling households.
While the SNP has placed the blame squarely at the feet of the Prime Minister, economic experts note that the responsibility for setting interest rates lies with the Bank of England, independent of direct government control.
The SNP utilized the figures to reiterate their push for Scottish independence, with Blackman describing Scotland as an “energy-rich country” trapped in an “economic doom loop” under Westminster’s governance. “It’s a disgrace that under Westminster control we are forced to pay some of the highest prices in Europe,” she added. “Scotland needs independence because real change will never come from Westminster.”
The UK Government has been approached for comment regarding the rising mortgage rates and the allegations leveled by the SNP. As the Budget approaches, all eyes remain on whether the administration will offer any fiscal reprieve for those facing the tightening grip of the current mortgage market.
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