Ups and downs of Thursday

Homeowners are bracing themselves for another interest rate rise on Thursday, according to a survey this week.

If the Bank of England does lift the cost of borrowing, it would be the fourth time since November, and could get a few mortgage-holders warm under the collar.

Some 77 per cent of homeowners think interest rates will go up this month, according to insurer and lender Direct Line's monthly mortgage interest rate index, up from 67 per cent last month.

But the proportion of personal finance journalists who reckon there will be another hike on Thursday has dropped to 67 per cent.

Meanwhile, another study revealed that the first rung of the property ladder is higher than ever for first-time buyers. It now takes first-timers a year longer to save for a deposit than a decade ago, according to National Savings and Investments.

Since 1994, the time it takes to save for a 5 per cent deposit on a first home has increased from two years nine months to three years nine months.