After all the excitement of last month, The Bank of England Monetary Policy Committee has voted to keep base bank rate at 0.5 % in December. The MPC vote was unanimous.
Market commentators say that the decision was expected, so the increase last month had the desired effect on the economy.
It's difficult to say what effect this has had on mortgage lenders, as most of them made their moves around October. Some lenders tweaked their rates up for new borrowers in anticipation of last month’s increase, and some reduced their rates – quite simply because the end of the year is nigh and some lending targets have still not been met. Borrowers are still taking advantage of extremely low mortgage rates.
This month however, existing borrowers will see their mortgage payments increase if they are on the lender’s standard variable rate (SVR).
Everyone with a mortgage should check if they are on the SVR now, as the rates will rise from historic lows this month. In most cases you'll notice the 0.25% difference - adding up to £200 per year per £100,000 of a mortgage.
There are still cheap fixes available, with 5-year fix rates from as low as 1.75%! Mortgage Required saved a client £340 a month by swapping them from their lenders standard variable rate to a fixed. That should help with the Christmas shopping!
If you would like to discuss your mortgage arrangements, please contact us on 01628 507477.
Recent posts
What is a Mortgage Stress Test?
2 days ago
A mortgage ‘stress test’ revolves around predicting future ‘affordability’. It is seen by many borrowers as just another hurdle to overcome, but it’s important to understand why it was introduced and who it is meant to protect.
There are several scenarios for a landlord where standard buy-to-let lending isn’t enough for their investment. For more complex properties, ownership structures, or borrowing circumstances, a specialist buy-to-let mortgage may provide options that are not available through mainstream lenders.
Best UK Mortgage Rates this Week
8 days ago
Here are the lowest fixed mortgage rates of the week, available to first-time buyers, home movers, buy-to-let, and those remortgaging.
Call us for more information: 01628 507477 or email: team@mortgagerequired.com.
Leaseholders to be given extra protection
22 days ago
Housing Secretary Angela Rayner has announced a new measure to protect leaseholders in England and Wales from high fees and poorly regulated property management companies.
New first-time buyer scheme announced by Burnham
24 days ago
Saturday 26th September, Andy Burnham announced a new equity loan scheme called “Your First Home”. The scheme, which will be confirmed at next month’s budget, is aimed at first-time buyers looking to purchase a new-build property from a developer signed up to the scheme.
What Happens to My Mortgage if I Lose My Job?
27 days ago
Losing your job or finding yourself ‘between jobs’ is, unsurprisingly, a stressful place to be. Keeping a cool head and taking action is important.
Flats 40% cheaper to buy than houses
18 Sep 2026
This price gap between the cost of houses and flats is the biggest it has ever been. Houses are now costing 1.7 times more than a flat, which is 0.4 times higher than 10 years ago
Take a look at our list of houses vs. flats per area.
Are mortgage rates set to increase?
9 Sep 2026
We have seen several lenders increase their mortgage rates over the last couple of weeks. This suggests mortgage rates are likely to rise.
Although nothing is set in stone, lender repricing, rising swap rates, and continued economic uncertainty suggest borrowers should prepare for higher mortgage costs.
More information
Trusted by
