I don't know about the UK but Canada is quite rate-sensitive, because of high levels of private mortgage debt, virtually all of which has a duration 5 years or

I don't know about the UK but Canada is quite rate-sensitive, because of high levels of private mortgage debt, virtually all of which has a duration 5 years or below, and a large part of which is floating. However, Canada has another problem in that it counts mortgage interest as consumer spending. So rising interest rates can be severely stressing individuals and detracting from the real economy while aggregate statistics paint a misleading picture of healthy consumer demand.