Because there's AWLAYS a mortgage angle... LF comments on what a Burnham leadership could mean for your mortgage for inews

A Burnham leadership would not automatically change mortgage rates. Lenders price off swap rates, inflation expectations and Bank of England policy, not political personalities.

But politics does affect confidence. If markets see him as fiscally disciplined, pro-growth and serious about housing supply, the mortgage impact could be fairly neutral, or even positive over time if supply improves. If they see higher spending, higher borrowing or unclear funding, gilt yields and swap rates could rise, and that can feed into mortgage pricing.

Short term, I would expect uncertainty rather than cheaper mortgages. Borrowers should not assume a new leader means lower rates.

Long term, the key question is whether he can deliver more homes without frightening the bond market. Mortgage rates need stability, inflation control, credible fiscal policy and a housing plan that actually increases supply. They do not need political theatre or unfunded promises.

As Burnham begins his march South, we will start to see how markets react. Overthrowing the PM will cause a little turbulence, so we could see mortgage rates wobble in the short term. But if his pledges are met with approval from the markets, we could see rates improve significantly once Burnham gives Keir the boot.

A Burnham government could be good news for first-time buyers, but less so for lenders and landlords. His track record suggests he'd push harder on housebuilding, social housing and yet another round of intervention in the rental market. In the long run, more housing supply is exactly what the country needs, but in the short term, markets tend to dislike uncertainty. Mortgage rates are driven by much more than politics, but if investors become nervous about higher spending, rent controls or more housing policies, that could keep borrowing costs higher than many would like.

Mortgage rates are driven far more by inflation, swap rates and market confidence than by any individual politician. However, leadership can influence how financial markets view the UK’s economic stability.

If an Andy Burnham government was seen as credible and business-friendly, that could support lower funding costs for lenders over time. Equally, if markets became concerned about spending plans or economic policy, borrowing costs could rise.

For most borrowers, the immediate impact would likely be minimal. The bigger drivers of mortgage rates remain inflation and Bank of England policy.

Markets will be wary of Burnham precisely because he's an unknown quantity keen to make his mark, and unfunded borrowing that takes the country in a different direction is exactly what spooks gilt investors. With the peace deal potentially in pieces, this is extra volatility we don't need, especially with the Truss fiasco still fresh in our minds.