Rising interest rates push Norwegian family to consider applying for Nav assistance

Vegard Jensen and his partner, parents of three, report that rising prices for groceries, fuel and electricity are tightening their budget. The recent increase in the policy rate by Norges Bank raises their mortgage costs, and Jensen says that if rates stay high or rise further, and they do not secure better-paid employment, they will need to request assistance from Nav. Jensen estimates their monthly mortgage payment has risen by several thousand kroner since buying their home in 2022, and fuel expenses have also climbed noticeably.

Progress Party leader Sylvi Listhaug visited Jensen’s workplace, noting that many families are losing sleep over each rate hike and that higher fuel and food costs could worsen the situation in winter. Listhaug advocated for cutting fuel taxes and halving the food VAT, arguing that lower taxes would ease household budgets and reduce inflationary pressure.