Property repossessions could hit 48,000 a year by 2024, a leading economic consultancy has warned.
Capital Economics made its prediction based on analysis of the latest Bank of England (BoE) figures.
The central bank raised interest rates again last week as it tries to arrest soaring inflation.
But with interest rates on the rose homeowners face a double whammy of bill increases with the energy price cap hits £3,359 in October and will now rise every 12 weeks instead of the current six months.
Andrew Wishart of Capital Economics said: “The big risk is that the BoE can’t get inflation down and interest rates keep rising.
“Repossessions will come down the line in a year to 18 months.”
Earlier today the Lib Dems called for the launch of an Emergency Mortgage Support Fund to help those who cannot pay the bills and risk losing their homes.
