NO ONE knows how the UK’s new government will perform – and that means house owners can bank on uncertainty regarding mortgage rates too.

Economists are divided, but experts at finance specialist Ardent, of Stillington, near York, believe a rate rise is a possibility, especially after Britain was left with a hung parliament.

So even as the bank rate was being held this week at 0.5 per cent, it is advising now is the time to consider a switch to a fixed rate mortgage deal which could offer the best value over the next few years.

Michael Oglesby, senior partner at Ardent, said: “Uncertainty from the hung parliament, or pressure on the pound because of the size of Britain’s deficit, could both force interest rates up.

“With rates having dropped to an historic low fixed deals looked relatively unattractive for the last couple of years.

“However, we have seen a return to competitively-priced fixed rate deals in the last few weeks and it is seriously worth considering making the switch.”

There are now a number of attractive remortgage products with rates fixed around the 3.5 per cent range over two to three years.

Which product was right for any individual depended on their circumstances, Mr Oglesby said.

But fixed rates deserved serious consideration – and quickly. “These deals will disappear if a rise in base rates appears inevitable,” he said.