Published on: 11 August 2023


What has changed

On Thursday 3 August 2023, the Bank of England announced a 0.25% increase in its base rate from 5.00% to 5.25%.


Mortgage rate changes

The impact of the rate increase depends on what type of mortgage you have.


Fixed rate mortgages

If you're on a fixed rate mortgage, nothing will change – you don't need to do anything.

Your interest rate and monthly payments stay the same until the end of your fixed deal.

If you’re thinking of switching deal, you can use Mortgage Manager. You just need your mortgage account number to log in.

In Mortgage Manager you can see our deals, and if you're eligible, switch to a new one and check if you'll need to pay an Early Repayment Charge (ERC). Or you can access Mortgage Manager through our Banking App.

You can also get advice from a mortgage adviser on a new deal and apply to switch.


Base Mortgage Rate (BMR)

From 1 September 2023 our Base Mortgage Rate (BMR) will increase from 6.50% to 6.75%.

We'll write to you if you are affected. The letter will explain your new interest rate and monthly payments. You'll start paying your new monthly amount from September 2023, on your usual payment date.

Thinking about switching to a fixed rate or tracker mortgage? Or extending or reducing the term of your mortgage? Log in to Mortgage Manager using your mortgage account number. Or you can access Mortgage Manager through our Banking App.

You can also get advice from a mortgage adviser on a new deal and apply to switch.


Standard Mortgage Rate (SMR)

We have reviewed our Standard Mortgage Rate (SMR) and have decided not to pass on the latest base rate increase, at this time.

SMR remains unchanged at 7.99%.

We'll continue to review the position and will let impacted members know if things change in the future.


Tracker mortgages

From 1 September 2023, we'll be increasing our tracker mortgage interest rates to reflect the base rate change.

We'll write to let you know what your new interest rate and monthly payments will be. You'll start paying your new monthly amount from September 2023, on your usual payment date.

Work out your new interest rate and payments

You can work out your new interest rate yourself by adding together:

  • the new base rate of 5.25%, and
  • the set rate you agreed to in your mortgage offer

Once you have your interest rate, you can get an idea of your monthly payments using our mortgage payment calculator.

If you’re thinking of switching deal, you can use Mortgage Manager. You just need your mortgage account number to log in.


Not sure which mortgage you have?

You can find out your mortgage type by checking your annual statement or mortgage offer, whichever is the most recent.


Savings and ISA changes

Fixed rate accounts

If you have a fixed rate savings account or ISA, nothing will change for you. Your interest rate will stay the same for the length of your term.

You can find your interest rate in the Internet Bank or the Banking app. Or if we sent you an opening letter or email when you opened the account, it will be on there.

Variable rate accounts

If you have an account with a variable interest rate – like an instant or limited access account – you can check your current rate in the Internet Bank or Banking app.

Or you can find your account and interest rate by answering a few questions on our account checker page.

Get notified when your interest rate changes in future

SavingsWatch is a free service for members. If you sign up, you’ll get an alert by email or text whenever your interest rate goes up or down.

Compare the interest rates of all our accounts

You can also check and compare the interest rates of all our savings accounts and ISAs.