Changes to selected variable rate mortgages

Today, Thursday 4 August, the Bank of England decreased the base rate from 0.50% to 0.25%.

Please find below the effect of this decrease on Nationwide’s mortgage rates.

Existing Customers

Base Mortgage Rate (BMR)

  • The BMR (products reserved before 29 April 2009) is guaranteed to be no more than 2% above Bank of England base rate and will revert to 2.25% from Thursday 1 September (previously 2.50%).

Standard Mortgage Rate (SMR)

  • Customers who are on a SMR will reduce to 3.74% (previously 3.99%).

Tracker rate mortgages

  • Customers with an existing tracker rate mortgage will receive the full 0.25% decrease, unless they have a tracker floor*.

New and pipeline applications

  • All tracker rate mortgage KFI and offer documents will reflect the new base rate from Wednesday 10 August.

Borrowers affected by the decrease will see a change to their mortgage payments from Thursday 1 September and we’ll write to them by this date to notify them of their new interest rate and monthly payment.

For more information about the Bank of England base rate announcement, and for Nationwide FAQs, please visit

*If your client is currently on a Nationwide tracker rate mortgage, in most cases their rate and payments will reduce by the full amount of the base rate decrease. If their rate and payments are changing, we'll write to them to let them know.

If their tracker has a floor, it means that when the Bank of England base rate falls below a certain level, their tracker rate won't reduce. Their rate will stay the same until the base rate increases above that level. They can check if they have a tracker floor on their mortgage offer.