ECB Set To Raise Interest Rates Today

Thursday, 21 July 2022 09:11

By Caoimhe Harney

It's the first in a series of ECB rate rises in 11 years.

The era of cheaper mortgages is coming to an end as the European Central Bank is expected to announce an increase in its key interest rates today.

It is set to confirm a 0.25 percentage point increase, followed by a rise of twice that in September.

The start of a cycle of interest rate rises could see households with tracker or variable rates being hit with higher payments of up to €1,200 a year.

Mortgage costs will see a family on a €250,000 tracker mortgage having to pay an extra €1,200 per annum with rates rising by 0.75 percentage points by the end of the year.

There are growing fears that the first in a series of ECB rate rises in 11 years will tip Ireland and the rest of the EU into recession.

Adjunct Professor at Trinity College Dublin, John Fitzgerald, explains why the ECB is taking this course of action:

More from National News

No Plans For New Domestic Violence Refuge In North Kildare In 2026

That confirmation was given by Justice Minister Jim O’Callaghan in response to a question from Kildare North Fianna Fáil TD Naoise Ó Cearúil.
Major Kildare Rail Project Left Hanging As Tánaiste Says He Will “Keep An Eye” On It

The Tánaiste said he will speak to the Minister for Transport and “keep an eye” on the DART+ South West line.
Hundreds Tested For Alcohol And Drugs In Kildare As Report Highlights Ongoing Role In Fatal Crashes

Audio

Gardaí warn they’ll be targeting impaired drivers at checkpoints nationwide on the run-up to Christmas.
As Storm Bram Approaches, Kildare Council Warns Of Hazardous Conditions And Risk Of Fallen Trees

Met Éireann says Storm Bram will be a multi-hazard event, bringing strong winds and an increased risk of flooding.
Kilcullen Driver Caught Speeding 159km/h In 80km/h Zone

The data comes as gardaí issued its first update on the national Christmas road-safety operation, which runs from 1 December to 5 January 2026
Maynooth's Paul Mescal Nominated For Golden Globe

He's up for Best Supporting Actor for his role as William Shakespeare in 'Hamnet'
Ho Ho No: Environmentalists Write To Naas Councillors Urging Rejection Of Free Christmas Parking Plan

The group has written to Naas Municipal District members ahead of tomorrow’s meeting, urging them to reject a proposal to suspend pay parking from December 15th to 31st next year.
Deadline Tomorrow For Remote Working Views As Kildare TD Links Inflexibility To Traffic Congestion

The consultation is seeking views from workers, employers and other stakeholders on the rules introduced in March 2024, which require employers and employees to follow a Workplace Relations Commission code of practice when dealing with requests for remote or flexible working.