Today’s Bank of England announcement confirmed no change to the base rate, which remains at 3.75%. On the surface, that can feel like a non event — but whether you already have a mortgage, are planning your next move, or are thinking about buying for the first time, today’s decision can still play an important role in the choices ahead.
For many borrowers, particularly those with a fixed rate ending later this year or in early 2027, a base rate hold is less about what has or hasn’t changed today — and more about what they can start planning well in advance.
Thinking about remortgaging? You may be able to plan earlier than you think
Many lenders allow you to secure a new mortgage rate up to six months before your current deal ends. This can be a helpful way to lock in a deal and avoid reverting to a standard variable rate, which is often significantly higher.
However, that six month window isn’t the only point at which it’s worth reviewing your options.
In some cases, switching earlier can make sense — even where an Early Repayment Charge (ERC) applies — if the potential long term savings outweigh the cost of leaving your current deal early. For example, a lower rate secured sooner could reduce monthly payments enough that the overall benefit offsets both the initial cost and the ERC.
Much earlier than six months, it can still be valuable to start a conversation and:
• understand how different rate scenarios could affect your future monthly payments
• review whether your loan to value position has improved, potentially opening up more competitive rates
• identify lender criteria changes that could influence which deals may be suitable
• put a clear plan in place, rather than making rushed decisions closer to your end date
