UK homeowners will be hit hard by the Brexit says Osborne

Chancellor George Osborne believes that British home owners would face a "significant hit" due to mortgage costs rising and house prices falling if voters decided to leave the European Union.

George Osborne has led the opposing side of the Brexit argument by reinforcing his claims that leaving the EU would only cost the UK more money. In an interview with ITV he said: "This goes to the heart of people's financial security. I am pretty clear that there will be a significant hit to the value of people's homes and to the cost of mortgages."

Recent opinion polls show that the majority of voters think that remaining within the EU would be best for the country, but that support for leaving or staying still remains too close to call.

Justice Secretary Michael Gove is a leading voice in the ‘Out’ campaign, he slammed "the rules that the European Court of Justice imposes on us".

The ‘Out’ campaign maintains that the UK’s economy would flourish as Britain would be able to make its own trade deals and spend the money that would normally be paid to the EU, at home, whilst cutting down on rules and regulations.

A new finance ministry report on the short-term effects on Britain's economy will look at the implications of an 'Out' vote on the housing market, Osborne said.

The report is due to be published in the next few weeks.