Ironically, the BoE’s decision to hold rates could see firms finish strongly this year – Clifford

To some extent, that has happened. At Stonebridge, we are processing record daily volumes of remortgage and product transfer cases, with our run rate roughly 20% ahead of this time last year. Across the wider market, 785,000 borrowers replaced their fixed rate deals in the first half of the year, according to UK Finance.

Those are strong numbers. Yet despite this strength, a sizeable pool of borrowers remains on the sidelines.

Including those on lenders’ standard variable rates (SVRs), there were 1.3 million mortgages in H1 that could have switched without incurring early repayment charges (ERCs) – roughly the same number as in H1 2024. Yet just 61% did in H1 2025 – three percentage points fewer than the same period a year earlier.

Reasons for the refinance standstill

So, why are some borrowers holding back despite being free to grab a new deal?

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For some, it’s simple apathy. Many borrowers may be unaware that they are on an SVR and assume that their repayments have risen because all rates are generally higher. Others will be close to repaying their mortgage and feel that refinancing isn’t worthwhile with such a small balance outstanding.

For many, however, the decision will be tactical. Over the past 18 months, borrowing costs have come down significantly. As a result, a sizeable number may be choosing to wait it out on SVR, hoping to secure an even cheaper deal later.

But with the Bank of England holding rates in September – and the next cut not anticipated for another six months, according to many experts – patience may run out. Borrowers who have delayed may now see an incentive to lock in a fixed rate, rather than risk another six months on SVR. This shift could help deliver a strong finish to the year for lenders and brokers.

Looking ahead, the refinance market is widely expected to grow even further in 2026. Add in the pent-up demand from borrowers who have delayed refinancing so far this year, and the next 12 months have the potential to be among the busiest and most rewarding for consumers and brokers that the market has seen in years.

But mortgage customers will not simply fall into brokers’ arms. If advisers are not proactively contacting clients, many will default to an unadvised product transfer and potentially miss a better deal and the protection of your professional advice.

That’s why the coming months are both a challenge and an opportunity. The challenge is to reach hesitant borrowers before their lender does; the opportunity is to demonstrate the real value of advice and expertise at a time when borrowers need it most.