A 1.0% interest rate rise would add £10bn to the UK’s mortgage bill, ultimately adding £930 a year (or £77.50 per month) to the cost of servicing the average mortgage, according to new analysis from Savills.

Four in 10 borrowers on variable rate mortgages would be first to feel the pain, the firm says, adding that their annual mortgage bill would rise overnight by £4.3bn, while the 59% on fixed rate deals would be impacted later, as fixed terms expire.

Buy to let landlords would pay an additional £2.4bn, with other home owners paying £7.8bn, or 76.5% of the total increase.

“This would bring an end to the historically low mortgage costs that have boosted housing affordability and limit the buying power of those needing a mortgage, and underscores our forecasts for more subdued house price growth over the next five years,” said Lucian Cook, head of residential research at Savills. He added: “We’d expect first time buyers in London, whose mortgage costs relative to earnings are already more stretched than for any other group, to be most affected.”