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The Independent UK
The Independent UK
National
Vicky Shaw

Bad news for homeowners as UK fixed mortgage rates rise yet again

  • Average UK fixed mortgage rates have climbed to their highest levels in months as lenders adjust to shifting market conditions.
  • Figures from Moneyfacts show the average two-year fixed rate rose to 5.63 per cent, while the average five-year fixed rate increased to 5.68 per cent.
  • Finance expert Rachel Springall attributed the adjustments to volatility in swap rates driven by inflationary concerns stemming from the Middle East conflict.
  • Mortgage technical manager Nicholas Mendes warned that further selective rate increases are likely as lenders catch up with wholesale market changes.
  • Lloyds reported a 0.4 per cent annual drop in average UK house prices in August, marking the first year-on-year decrease since November 2023.

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