The rate has been held at 3.75% in response to recent global events. Find out what this means for mortgage rates.
The Bank of England has held the base rate at 3.75% in today’s rate review. Only a few weeks ago, a rate cut today looked likely, but recent global events have impacted the Bank’s decision.
The base rate was also held at 3.75% in the previous review on 5 February after a reduction in December from 4%.
Inflation uncertainty
Rising oil prices and increased uncertainty have resulted in inflation concerns. Inflation is expected to rise, and swap rates (used by lenders to price fixed-rate mortgages) have recently increased.
However, today’s base rate decision is unlikely to affect mortgage rates. Most of the adjustments in the mortgage market had already occurred.
Many banks had already raised their mortgage rates. Barclays, HSBC, Lloyds, NatWest and Santander have all increased their rates since the start of March.
We’re here to help
The current situation is making many people feel more cautious about their finances, which is completely understandable.
We’re here to help you review your options and make sure you’re in the best possible position. If your fixed-rate mortgage deal is due to end this year, speak to us now.
Future rate reviews
The next base rate review is on 30 April 2026. As always, we’ll keep you informed.
We’re here to help if you have any questions. Call MB Associates, mortgage brokers in Surrey, on 020 8652 5240