Liberal Democrats leader Ed Davey has proposed a £300 a month mortgage grant for homeowners who see their repayments increase by more than 10%.
Following former Chancellor Kwasi Kwarteng’s disastrous mini-Budget mortgage rates spiked hitting a 14-year high in September.
While these rates are falling back from that high they remain considerably higher than they were at the beginning of September.
In his Autumn speech he said the Government has created a: “A mortgage crisis, with people’s monthly payments up by hundreds of pounds. Millions of families struggling to pay a Conservative Property Penalty, every single month.
“Never again can the Conservatives claim to be the party of homeowners. Never again can they claim to be the party of business. Never again can they claim to be the party that balances the books.
“The Conservatives are the party of chaos. And now what worries millions of people is what happens next.”
Davey said the £3bn needed to fund such a scheme could be paid for by reversing cuts to taxes on banks dating back to 2016.
There are roughly 2.2 million borrowers on Standard Variable Rates who are, in some cases, facing increasing mortgage bills.
Davey was making the speech after his party was forced to cancel its conference due to the death of Queen Elizabeth II.
