General Election result 'will impact on personal finances'
Personal finance specialists may not be able to forecast the election result but they are sure about one thing: sooner rather than later, the next government will hit us all where it hurts - in the wallet.
Even before the new party (or parties) in power get round to any additional spending cuts, the outcome of election night could be a changing value of the pound, loss of some tax relief on pension contributions and even an unexpected rise in the cost of home loans.
Financial advisers seem especially spooked by the possibility of a hung parliament or a coalition - of whatever political combination.
"The problem with a hung parliament is that it produces uncertainty," says Melanie Bien, a director of Savills Private Finance.
"Money markets don't like this, so mortgage borrowing rates tend to rise as a result."
She suggests that anyone coming to the end of a mortgage deal who is worried about higher rates should be able to find a fixed rate for at least two years or more.
"Then, after the election result, they can decide whether or not they want to take out the fixed mortgage deal or not".
Source: BBC News
