Hanna: Interest rates hike devastating blow to struggling families

claire hanna cost of living Recession Interest rates

SDLP South Belfast MP Claire Hanna has said that the hike in the UK interest rate will be a devastating blow to already struggling families across the North and Britain.

She was speaking after the Bank of England lifted the rate to 3%, the largest increase since 1989.

Ms Hanna said warnings of a “very challenging” recession would cause further fear for households dealing with soaring costs.

South Belfast MP Ms Hanna said:

“Today’s hike in the interest rate and warning that we are on the brink of a recession will cause fear and concern for families already finding it increasingly difficult to make ends meet. This announcement will put an end to many people’s dreams of owning their own homes or starting their own business and leave those already on the housing ladder wondering how on earth they are going to make their mortgage payments.

“Plunging people further into poverty is the legacy of Liz Truss’s brief weeks in power, she played fast and loose with public finances and now it’s hard-working people who will pay the price. The 2008 recession had a profound impact on this place, businesses closed, people lost their homes and many were pushed to the brink under unimaginable pressures.

“This is a time for political leadership and while we believe a Labour-led government is best placed to provide it, Prime Minister Rishi Sunak must immediately spell out exactly what he is going to do to protect people from the current emergency. Many families are already going hungry in cold houses and I dread to think how they will be feeling at this announcement that further misery is on the way.

“As we stare into this deepening crisis the DUP’s flimsy excuses for preventing our institutions from functioning look all the more ridiculous. Stormont cannot reverse a recession, but it can take steps to help people and mitigate the worst aspects of this crisis. The only way we are going to navigate this extremely difficult period is with governments in London and Belfast recognising the desperate situation families are facing and working together to implement interventions to get them through it.”

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