Three years after the Mini-Budget
That mini-budget no one wants to talk about was delivered over three years ago in September 2022.
Lizz Truss was the Prime Minister, and on 23rd September that year, her government’s decisions caused mortgage rates to sky-rocket, and the pound to drop drastically. These policy changes meant that the Bank of England had to step in to stabilise the market.
Despite the majority of these policies being withdrawn within days, there was still a huge impact on people’s finances for years to come. Especially the mortgage market.
Mortgage rates: then and now
Mortgage rates had been increasing steadily towards the end of 2021, in line with the Bank of England’s base rate rises. However, the changes from the Mini-Budget meant they increased even more.
Below is an example of a repayment on a property based on the interest rate difference between September 2022 and October 2025.
£300,000 property (with 10% deposit), borrowing £270,000. 30-year term:
| September 2022 | October 2025 |
| 6.51% £1,709 per month Total repayment: £615,141 |
4.67% £1,395 per month Total repayment: £502,295 |
Source: Moneyfacts and Zoopla
As we can see from the above example, mortgage rates have eased, signalling the possibility of a more stable mortgage market. There are also more affordable options available, helping first-time buyers onto the property ladder.
Autumn Budget 2025
There is still uncertainty around interest rates, and with the Autumn budget just around the corner, no one can be sure which direction the market is going in, making the mortgage market feel volatile again.
By securing your mortgage deal early, you are protected if rates rise without losing flexibility. This is because with Mortgage Required, we do regular rate reviews, meaning if the rate drops before your new deal starts, we will switch you to a better rate if one becomes available.
Get in touch and see how we can help: 01628 507477 or email us.
Recent posts
Best UK Mortgage Rates this Week
Yesterday
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.
The UK mortgage market is seeing lenders withdraw deals and hike mortgage rates amid the escalation of conflict in Iran. This isn’t great news for borrowers, with the average rate for a two-year fixed deal sitting above 5%.
Statistics now show that those looking to purchase a property would have to save a deposit bigger than their annual gross pay.
Analysis from the Office for Budget Responsibility (OBR) shows that those looking to buy their first home could face a sharp increase if house prices follow the latest predictions, as Coventry Building Society suggests.
According to Zoopla, four in 10 homes are now cheaper to buy with a mortgage than to rent due to lower-cost mortgages - a sign that ownership is becoming more affordable.
World Sleep Day Tips
13 days ago
There are many people who struggle with getting a good night’s sleep. Having poor sleep hygiene can be the reason for bad sleep quality in adults. Sleep hygiene refers to habits that can help you sleep better.
Here we have shared some tips to create a healthier sleep.
What you need to know about remortgaging
15 days ago
If your current fixed rate is due to come to an end within the next six months, you will want to start thinking about the options available to you.
Nationwide is the first lender to allow mortgage deeds to be signed electronically and without the need for a witness.
More information
Trusted by
