Fixed mortgage
If your client is on a fixed rate mortgage, nothing will change as a result of the base rate change.
The interest rate and monthly payments stay the same until the end of the fixed deal.
Bank of England base rate changes
On Thursday 18 December 2025, the Bank of England announced a decrease in its base rate from 4% to 3.75%.
Tracker mortgage
From 1 January 2026, we'll be decreasing our tracker mortgage interest rates to reflect the base rate change.
We'll write to your client with their new interest rate and monthly payment, which they'll start paying from January 2026 on their usual payment date.
SMR and BMR
From 1 January 2026 we'll be decreasing our Standard Mortgage Rate (SMR) and Base Mortgage Rate (BMR) to reflect the base rate change.
We'll write to your client with their new interest rate and monthly payment, which they'll start paying from January 2026 on their usual payment date.