The Bank of England’s Monetary Policy Committee met on the 22nd of September, where the increase was announced. The base rate has risen by 0.5%, from 1.75% to 2.25%. The impact of these rises will gradually filter through during the rest of the year.

The increase will mean another rise in mortgage repayments for homeowners on variable and tracker mortgages. Homeowners with fixed-rate mortgages will not be affected. However, if your fixed rate is coming to an end, we can help get you the the best advice possible to find a new rate suited to you.

What is a fixed rate mortgage?

A fixed-rate mortgage is a mortgage where your interest rate is guaranteed to stay the same for a set period of time.

This can offer peace of mind because, unlike a variable-rate mortgage, you’ll know exactly how much you need to repay each month during this period.

Fixed-rate mortgages are by far the most common type of home loan, with most borrowers choosing fixed periods of two or five years.