Rates last updated: September 2026, using Moneyfacts data from 15 September 2026 and the Bank of England decision of 17 September 2026. This page covers UK mortgages and is educational content, not financial advice.
UK mortgage rates have been moving upwards again in 2026, and even small changes can add hundreds of pounds a year to your repayments. Whether you are buying your first home, moving or coming to the end of a fixed deal, it pays to know where rates stand today and how to secure one of the best deals available.
On this page you will find the latest average UK mortgage rates, the current Bank of England base rate, what these figures mean for your monthly payments and practical steps to beat the average.
Today’s Average UK Mortgage Rates
| Rate | Latest figure | Earlier comparison |
|---|---|---|
| Bank of England base rate | 3.75% (held on 17 September 2026) | Unchanged at the previous meeting |
| Average 2 year fixed | 5.73% (15 September 2026) | 5.63% at the start of August 2026 |
| Average 5 year fixed | 5.78% (15 September 2026) | 5.66% at the start of August 2026 |
| Average standard variable rate (SVR) | 7.13% (15 September 2026) | |
| Moneyfacts average new mortgage rate | 5.68% |
Sources: Bank of England and Moneyfacts. Averages cover all loan to value levels; the best deals on the market are usually lower, while some borrowers will be offered higher rates.
What is happening to rates?
At its September meeting, the Bank of England’s Monetary Policy Committee voted 6 to 3 to keep the base rate at 3.75%, with three members voting for an increase to 4%. Consumer price inflation was 3.1% in August 2026, and the committee noted that higher energy prices linked to conflict in the Middle East could push inflation up further.
Lenders have already been raising fixed rates. According to Moneyfacts, the average two year fix has risen by 0.89 percentage points since March 2026, which adds roughly £131 a month to a typical mortgage. Several large lenders, including NatWest, Santander, HSBC and TSB, raised selected rates in recent weeks, some more than once in a month. The next base rate decision is due on 5 November 2026.
What Today’s Rates Mean for Your Payments
Here is the monthly repayment on a £250,000 repayment mortgage over 25 years at today’s averages:
| Rate type | Rate | Monthly payment |
|---|---|---|
| Example tracker (base rate + 1%) | 4.75% | £1,425 |
| Average 2 year fixed | 5.73% | £1,570 |
| Average 5 year fixed | 5.78% | £1,577 |
| Average SVR | 7.13% | £1,788 |
Illustration only. Your payment depends on your rate, loan size, term and fees.
The most striking number is the SVR. A borrower who lets a fixed deal expire and drifts onto the average SVR would pay about £218 more a month than on the average two year fix, or more than £2,600 a year. That is why arranging a new deal before your current one ends is so important.
How Today’s Rates Compare With Recent Years
Looking back helps put today’s figures in context. In early 2022, some fixed rate mortgages were available below 2%, after more than a decade of very low interest rates. As inflation surged, the Bank of England raised the base rate rapidly, reaching 5.25% in August 2023, and average two year fixed rates climbed above 6.8% in the summer of 2023.
Rates then eased as inflation fell and the base rate was cut in stages. Today’s averages of around 5.7% to 5.8% are well below the 2023 peak but far above the ultra low deals of a few years ago. For many borrowers whose cheap fixed deals from 2021 or 2022 are ending, that still means a significant jump in monthly payments.
Why the Best Rates Are Lower Than the Average
The averages above include every product on the market. The best buy deals you see in comparison tables are usually lower because they are aimed at the lowest risk borrowers. They typically require:
- A large deposit or plenty of equity, often 40% or more (a loan to value of 60% or less).
- A clean credit history.
- Payment of a product fee, sometimes £999 or more.
As your loan to value rises, rates step up. Borrowers with 5% or 10% deposits generally pay noticeably more than those with 25% or 40%.
| Loan to value (LTV) | Typical pricing |
|---|---|
| 60% or less | Lowest rates on the market |
| 75% | Slightly higher rates |
| 85% | Higher again |
| 90% to 95% | Highest mainstream rates, fewer products |
Fixed vs Tracker: Which Rates Look Best Now?
There are two main types of mortgage rate in the UK:
- Fixed rates stay the same for a set period, usually two, three, five or ten years. They protect you if rates rise.
- Tracker rates follow the Bank of England base rate plus a set margin. If the base rate rises, your payment rises too.
Today, two year and five year fixes are priced very close together, at 5.73% and 5.78% on average. That means the extra certainty of a five year fix currently costs very little. Trackers can start lower, but with some committee members voting for a rise, borrowers on trackers carry more risk of higher payments. Our detailed guide on fixed vs tracker mortgages explains how to weigh this choice.
Rates for Different Types of Borrower
First time buyers. Most first time buyers have smaller deposits, so they usually pay more than the best buy rates. Some lenders offer dedicated first time buyer products, cashback or free valuations, which can offset part of the cost.
Remortgaging borrowers. If you have built up equity, you may qualify for a lower LTV band than when you bought. Compare your lender’s product transfer offer with the wider market before deciding.
Home movers. If your current mortgage is portable, you may be able to take your existing rate with you and borrow any extra on a new deal. This can help avoid early repayment charges.
Buy to let landlords. Buy to let mortgages usually have higher rates and fees, and lenders assess affordability based on expected rental income as well as your own circumstances.
Self employed borrowers. Rates are generally the same as for employed borrowers, but you will need to provide more evidence of income, typically two years of accounts or tax calculations.
What Moves UK Mortgage Rates?
UK mortgage rates are influenced by several factors:
- The Bank of England base rate. This directly affects tracker and variable mortgages.
- Swap rates. Lenders use these to price fixed rate deals. They reflect market expectations for future interest rates and often move before the base rate does.
- Inflation. Higher inflation tends to push rates up, as the Bank of England may raise rates to control it.
- Competition between lenders. When lenders want more business, they cut rates; when funding costs rise, they pull or reprice deals.
- The wider economy. Energy prices, global events and economic data all feed into expectations.
Because swap rates react to expectations, fixed rates can rise even when the base rate is unchanged, which is exactly what has happened in recent months.
How to Get One of the Best Mortgage Rates
1. Lower your loan to value
A bigger deposit, or more equity when you remortgage, moves you into cheaper LTV bands. Even crossing from 76% to 75% LTV can make a difference.
2. Improve your credit profile
Check your credit reports, correct errors, register on the electoral roll and avoid new credit applications before you apply.
3. Compare the total cost, not just the rate
A low rate with a high fee may cost more than a slightly higher rate with no fee. Work out the total cost over the deal period, including arrangement fees and any cashback.
4. Secure a deal early
Many lenders let you lock in a rate up to six months before your current deal ends. If rates keep rising, you are protected; if they fall, you can often switch to a cheaper deal before completion.
5. Use a whole of market broker
A broker can compare deals across many lenders, including some that are only available through intermediaries.
6. Ask your current lender about a product transfer
If you are remortgaging, your existing lender may offer a new deal with no fresh credit check or valuation. Compare it with the wider market before accepting.
Checklist Before You Apply
- Know your deposit or equity and your likely loan to value band.
- Check your credit reports with the main credit reference agencies.
- Gather recent payslips, bank statements and ID, or two years of accounts if you are self employed.
- Work out a comfortable monthly budget, including a buffer for rate rises.
- Note the end date of your current deal and any early repayment charges.
- Compare at least three deals, including your current lender’s product transfer offer.
- Decide whether you want a fixed or tracker rate, and for how long.
Having these ready makes the application faster and helps you act quickly when a good rate appears, which matters when lenders are repricing deals at short notice.
Should You Fix Now or Wait?
With rates rising and the Bank of England split, many borrowers are wondering whether to act now. Consider these points:
- Nobody can reliably predict rates. Forecasts change quickly, especially when energy prices and global events are in play.
- Locking in early costs little. Securing a deal in advance is usually free or low cost, and many lenders let you switch if a better rate appears.
- Budget certainty has value. If a rise of £100 to £200 a month would stretch you, a fixed rate may bring peace of mind.
- Avoid the SVR. Whatever you decide, try not to let your deal lapse onto the lender’s standard variable rate.
Mortgage Rate Terms to Know
- Base rate. The Bank of England’s main interest rate, currently 3.75%.
- Loan to value (LTV). Your mortgage as a percentage of the property’s value.
- Product fee. A fee charged for taking a particular deal.
- Early repayment charge (ERC). A penalty for leaving a deal early.
- Standard variable rate (SVR). The lender’s default rate after a deal ends.
- APRC. The annual percentage rate of charge, which shows the total cost of the mortgage over its full term, including fees.
How We Report Rates
The figures on this page come from Moneyfacts, which tracks mortgage products across the UK market, and from official Bank of England announcements. We update this page regularly. The rates shown are market averages, not personal offers, and we do not accept payment to display rates.
Frequently Asked Questions
What is a good mortgage rate in the UK right now?
A good rate is one at or below the average for your loan to value and deal type. With average two year and five year fixes at around 5.7% to 5.8%, borrowers with large deposits and strong credit may find deals below these levels.
Will mortgage rates go down?
No one knows for certain. In September 2026, three Bank of England committee members voted to raise rates, and lenders have been increasing fixed rates. Be wary of anyone who claims to know exactly where rates are heading.
Is a two year or five year fix better?
Right now the average rates are very similar. A five year fix offers longer protection, while a two year fix gives you flexibility to switch sooner. Your choice depends on your plans and appetite for risk.
How often do mortgage rates change?
Lenders can change their rates at any time, sometimes several times in a month. The Bank of England reviews the base rate eight times a year.
Should I choose a deal with or without a fee?
It depends on your loan size. On larger mortgages, a fee can be worth paying to get a lower rate. On smaller loans, a no fee deal is often cheaper overall. Calculate the total cost over the deal period for both options.
Why is my rate higher than the best buy tables?
Best buy rates usually require a large deposit, a strong credit history and often a product fee. Your rate depends on your personal circumstances.
The Bottom Line
As of mid September 2026, the Bank of England base rate is 3.75%, the average two year fix is 5.73%, the average five year fix is 5.78% and the average SVR is 7.13%. Rates have been rising, and the Bank of England’s split vote suggests uncertainty ahead.
To secure one of the best deals, lower your loan to value where possible, compare total costs, lock in early and consider using an FCA authorised broker. Above all, avoid drifting onto your lender’s SVR.
Disclaimer: This article is for general educational purposes only and does not constitute financial advice. Average rates are sourced from Moneyfacts and the Bank of England and are not offers of credit. Your rate will depend on your circumstances and the lender. Your home may be repossessed if you do not keep up repayments on your mortgage.