According to The House of Lords' Economic Affairs Committee, interest rates in the UK are too high.
The group of peers has criticised the Bank of England's Monetary Policy Committee decisions to raise rates five times since November 2003.
Each time the cost of borrowing has risen, the majority of mortgage holders has had pay more to their provider.
"The persistence of inflation below target and the continued absence of strong demand factors in inflation are evidence that interest rates have been kept too high," said Chairman of the Lords' committee, Lord Preston.
"It is remarkable that the MPC consistently over-predicted inflation until 2002 and then after that consistently under-predicted it," the committee added.To read more about mortgages, click here.
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