Interest Rates Will Rise - Here's How To Protect Yourself

Interest Rates Will Rise - Here's How To Protect Yourself

From Property Magic Podcast by Simon Zutshi

May 19, 2026 · 11 min · Episode 346

About this episode

Simon discusses the implications of rising interest rates for property investors and homeowners in the UK.

Simon addresses a critical and timely concern for property investors and homeowners alike: the high likelihood of rising interest rates in the UK. Driven by the geopolitical conflict in Iran and its looming, inflationary impact on oil prices, energy costs, and the global supply chain, he explains why the Bank of England will likely be forced to raise base rates to cool down the economy. KEY TAKEAWAYS Geopolitical tensions are expected to drive up oil and energy costs, triggering widespread inflation across the UK supply chain and forcing the Bank of England to raise interest rates. Investors and homeowners should immediately review their mortgage portfolios—especially those on variable rates or with promotional deals expiring in 2026—to secure fixed rates before borrowing costs increase. It may be financially smarter to pay an early redemption penalty now to lock in a lower fixed rate, rather than waiting for the penalty period to end and facing significantly higher interest charges later. While borrowing costs are rising, property investors can expect rental income to increase over the next five years due to inflation and the legislative impacts of the Renters' Rights Act. BEST…

People in this episode

Host: Simon Zutshi

Topics covered

  • interest rates
  • property investment
  • mortgage strategies
  • inflation
  • economic impact

Keywords

  • interest rates
  • property investors
  • mortgage portfolios
  • fixed rates
  • inflation

Mentioned in this episode

Organizations: Bank of England

Places: UK, Iran

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