In the latest episode of The Rate Stuff, MPowered Mortgages’ flagship YouTube show, host Jack Izzard of Gallia Communications is joined by Peter Stimson, managing director of mortgages at MPowered Mortgages, to unpack the impact of the Labour government’s first year in power.
Timed to coincide with the one-year anniversary of Labour’s general election victory on July 4th, the episode offers a timely and wide-ranging discussion on the macroeconomic environment, housing policy, and the challenges still facing the mortgage market.
The conversation begins with a deep dive into the global economic picture, with Stimson (main picture, right) highlighting how both the US and UK economies appear to be cooling more quickly than anticipated.
He cites a combination of UK welfare reforms, persistent inflation and the looming spectre of Donald Trump’s so-called “big beautiful bill” in the US – all of which are exerting pressure on UK swap markets and borrower sentiment.
HOUSE PRICES
Attention then turns to the property market, following the release of the latest Nationwide house price index last week. The data showed the sharpest annual decline in house prices in two years but Stimson remains cautiously optimistic.
He points to Bank of England figures, also released last week, which revealed housing transactions had reached their highest level in a year – a potential signal of underlying market resilience.
However, affordability remains the core issue. Stimson argues that as long as the loan-to-income (LTI) cap stays in place and housing supply remains constrained then upward momentum in house prices will remain limited.
LABOUR’S MISSED OPPORTUNITIES
As the episode draws to a close, Izzard (main picture, left) asks the big question: what, if anything, can Labour claim credit for in its first 12 months?
Stimson welcomes the introduction of a new apprenticeship scheme designed to train 5,000 new construction workers as well as the government’s £39 billion commitment to social housing and proposed legislation to streamline planning regulations.
But he also calls out missed opportunities – namely, the lack of progress on the mortgage guarantee scheme, Lifetime ISAs and leaseholder reform.
The Rate Stuff is produced by MPowered Mortgages and airs fortnightly on YouTube, drawing an audience of around 500 viewers, largely from across the mortgage and housing sectors.
Watch the full episode HERE.
