You are here: Home - News -

Prepare for ‘major mortgage repricing’ in coming weeks

  • 14/02/2018
  • 0
Prepare for ‘major mortgage repricing’ in coming weeks
Mortgage rates are set to undergo a significant change in pricing in the next two or three weeks, after the Bank of England hinted that interest rates could soon rise, industry insiders have warned.



A recent surge in swap rates, which affects the cost of mortgage funding for lenders, is expected to start filtering through to mortgage costs.

A lender this week told Mortgage Solutions that providers usually have enough funding to hang on for two or three weeks before they are forced to move – or accept lower margins.

It is now a case of each provider waiting to see who makes the first move.

In the past week, there have already been signs that lenders are opting to quietly pull some of their most competitive deals from the market.

Halifax, Nationwide, the Post Office and Tesco Bank are among the lenders that have repriced.

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “With the Bank of England hinting at another interest rate rise sooner than the markets previously thought, perhaps as early as May, Swap rates have risen and pressure will be on lenders to edge up the pricing of fixed-rate mortgages accordingly.”

Charlotte Nelson from, added: “The talk of multiple base rate rises this year has started to become more than just gossip, with swap rates starting to rise again.

“The two-year swap rate increased by 0.15% in just one month, which is particularly significant, as this was an early sign of the base rate rise that occurred last November.”

However, not all rates have increased.

Barclays has snipped select rates, while Nationwide has also launched a competitive buy-to-let deal.

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • RT @robjupp: Great day yesterday for donations to @MortSleepOut. With Gift Aid, we are now close to £17,000. It would be great to get to £2…

Read previous post:
rbs logo
FCA ordered to publish RBS report, or could be ‘found in contempt of Parliament’

The Treasury Committee has used parliamentary powers to order the Financial Conduct Authority (FCA) to officially publish a leaked report...