Base rate remains unchanged at 5.25%

Adrian Anderson - Anderson Harris

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Published: 14th December 2023

This Article was Written by: Adrian Anderson


It comes as no surprise that the Bank of England’s Monetary Policy Committee has retained the base rate at the 15-year high of 5.25%.

While the base rate may have been maintained today, homeowners are seeing fixed mortgage rates creeping down with consecutive drops over the past few months as the markets predict the base rate will fall in 2024.

This will be welcome news for over a million existing mortgage holders who are still to remortgage since interest rates skyrocketed following Truss’ mini-budget in 2022.

Looking ahead, many feel that the base rate will begin to fall in spring/summer 2024, possibly reaching as low as circa 4.25%-4.50% by year-end. That said, global political and macroeconomic factors may hamper these predictions.

For those with fixed-rate mortgages coming to a close in 2024, research your options six months ahead of the rate end and work with your mortgage broker to secure the very best rate right up until the end of your current term.

We would also advise clients, where possible, to consider overpaying on their existing mortgage to reduce the capital sum and thus help the loan-to-value (LTV) ratio when they remortgage.

For those seeking a new mortgage, such as first-time buyers, there are many factors to consider when choosing a product that best suits their personal circumstances. Do factor in arrangement fees, valuation and legal conveyancing costs, early repayment charges, and headline rates when making your decision.

Can we help?

If you would like to discuss your current or future mortgage arrangements, contact our specialists. We will take time to understand your specific financial situation and work hard to find solutions to help you going forward. Contact us on +44 (0) 20 7495 6633 or e:

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