Are banks intending to extract their pound of flesh?

realitykeeper

When the central banks of the US and EU began their QE asset purchasing several years ago, one of the objections was that it would eventually end up being very inflationary to the economy.

When high inflation does come, the ECB will need to increase interest rates (for brevity, I will not say why) and this will impact those on tracker mortgages which are directly linked to the ECB rate.

Meanwhile, the lower interest rates being charged on fixed mortgages are welcome news to the risk averse but curiously, those on tracker mortgages seem to be precluded. I may be wrong but from what I read, these fixed rate mortgages are only available to those people getting a new mortgage or those who have variable mortgages.

Not so long ago, the banks were desperate to get people off the trackers. What is going down? Are those in the know expecting (as I do) interest rates to increase significantly?

If this does happen, Europe will be torn in two because the nordic countries will not want to continue QE and the rest of Europe will want QE on a massive scale.