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Vic Jannels is chairman of Horsham-based mortgage brokers Impact and chief executive of the Association of Short Term Lenders.

He said we could expect rising prices and bank rates as a result of the events in Ukraine.

Also read: https://www.sussexexpress.co.uk/news/politics/sussex-mps-react-as-russia-invades-ukraine-3584265

Vic Jannels chairman of Impact Specialist Finance

"In anticipation of the invasion we have seen pressure on oil prices which will inevitably lead to further price rises at the pumps in the very near future," Vic said.

"We have witnessed dramatic increasing inflation, although the economic recovery shown in recent months demonstrates the continued strength and capability, of businesses in the UK, to deliver.

"The war in Ukraine however is something we have not witnessed on this continent since the Second World War and undoubtedly it will have a marked effect on our economy in terms of consumables and energy costs and may prove increasingly challenging for consumers and their affordability.

"In my field, this is likely to be met by increases in bank base rate, the tool used by the Bank of England to calm inflation. This will come at a bad time given the recent and severe hike in energy prices and may well serve to slow the recent boom in house sales, and price rises.

"As bank rates, and variable mortgage rates rise, this may prove a challenge to borrowers' ability to manage their mortgage payments. If this proves to be the case then borrowers should make an early call to their provider who will always look to be supportive.

"It is probable that the financial regulator will increase their already stringent review of Money Laundering activities, given the sheer weight of Eastern European funds which are likely to be washing through the investment and property marketplace. This has been under the spotlight for some years and remains a increasing issue. This will increase the welter of due diligence lenders have to undertake, pushing approval timescales ever further.

"It is understood that some non-high street mortgage lenders may have raised funds, quite legitimately, from Russian Banks and financial institutions and these supply chains may now dry up dhttps://www.sussexexpress.co.uk/news/politics/ukraine-war-this-is-how-many-russians-and-ukrainians-we-have-living-in-sussex-3584357ue to the sanctions which have already been imposed and those to follow. This may affect some who have mortgage agreements in the pipeline.

"In the mortgage and financial world it has never been more important to take and follow independent professional advice. As the repercussions of falling markets and increasing sanctions grow, this should be considered crucial."

Ukraine crisis: Horsham finance expert Vic Jannels warns of rising fuel and food prices and problems for borrowers ahead

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