April 13, 2026
The Bank of England has held the Base Rate at 3.75%, continuing a period of relative stability after several years of movement in interest rates. For homeowners, buyers, sellers and landlords, the obvious question is: what does this mean for mortgages and the property market?
While a hold in the Base Rate does not automatically mean mortgage rates will stay exactly where they are, it does give lenders, borrowers and the wider housing market a little more certainty.
What is the Base Rate?
The Base Rate, sometimes called the Bank Rate, is the interest rate set by the Bank of England. It influences the cost of borrowing across the economy, including mortgages, loans and credit cards, as well as the returns offered on savings. The Bank of England’s current Bank Rate is 3.75%, with the next decision due on 18 June 2026.
In simple terms, when the Base Rate rises, borrowing often becomes more expensive. When it falls, borrowing can become cheaper. When it is held, as it has been this time, it suggests the Bank of England is taking a wait-and-see approach.
What does this mean for mortgage holders?
For those already on a fixed-rate mortgage, nothing usually changes straight away. Your monthly repayments should remain the same until your current deal ends.
However, if your fixed-rate deal is due to expire soon, the Base Rate still matters. Lenders take it into account when pricing new mortgage products, alongside inflation, swap rates, market expectations and wider economic conditions.
For borrowers on a tracker mortgage, changes to the Base Rate are usually more direct. Tracker mortgages typically move in line with the Bank of England Base Rate, so a hold means repayments may stay broadly the same for now, depending on the lender’s terms. Halifax notes that variable-rate mortgage repayments may rise or fall when the Base Rate changes.
Those on a standard variable rate may also be affected, although lenders have more discretion over these rates. If you are on a variable product, it is worth reviewing your options with a qualified mortgage adviser.
Is this good news for buyers?
For buyers, a held Base Rate may offer some reassurance. Mortgage rates remain higher than many people were used to during the very low-rate years, but stability can help buyers plan with more confidence.
A steady Base Rate may mean:
- Mortgage repayments are easier to forecast.
- Lenders have more confidence when pricing products.
- Buyers can make decisions with a clearer understanding of affordability.
- The market may feel less uncertain than during periods of repeated rate rises.
That said, mortgage affordability is still a key issue. Buyers should look carefully at monthly repayments, deposit size, income, outgoings and future plans before committing.
What about sellers?
For sellers, interest rate stability can be positive because it may help maintain buyer confidence. When buyers feel they can understand their borrowing costs, they are often more comfortable making offers and progressing with purchases.
However, today’s buyers are generally more cost-conscious. They are likely to be looking carefully at value, condition, energy efficiency and long-term affordability. Well-presented, sensibly priced homes are therefore more likely to attract serious interest.
At Simon Blyth, we continue to see that good marketing, realistic pricing and local knowledge make a real difference when bringing a property to market.
Could mortgage rates come down?
Possibly, but there are no guarantees. The Base Rate is only one factor lenders use when setting mortgage rates. Inflation, financial market expectations and lender competition all play a role.
The Bank of England says Bank Rate is used to help keep inflation stable, and its current inflation figure is still above the 2% target. This means future decisions will depend on how inflation and the wider economy perform over the coming months.
Some borrowers may see competitive mortgage deals appear, particularly where lenders are looking to attract new business, but it remains important to compare products carefully.
Should you fix, track or wait?
There is no one-size-fits-all answer. A fixed-rate mortgage can offer certainty, which many households value. A tracker mortgage may appeal to those who believe rates could fall, but it also carries the risk of repayments increasing if rates rise.
Before choosing a mortgage product, it is sensible to speak to an independent mortgage adviser who can look at your personal circumstances.
What should homeowners do now?
If your mortgage deal is ending within the next six months, now is a good time to start reviewing your options. Leaving it too late can reduce the number of choices available and may leave you moving onto a more expensive standard variable rate.
Homeowners may wish to:
- Check when their current mortgage deal ends.
- Review their current property value.
- Speak to a mortgage adviser about remortgage options.
- Consider whether their home still suits their needs.
- Get an up-to-date valuation before deciding whether to sell.
Thinking of moving?
A held Base Rate does not remove all uncertainty, but it does give the market a steadier backdrop. For buyers, sellers and homeowners, the key is to make decisions based on current affordability, local market conditions and long-term plans rather than trying to predict every interest rate movement.
At Simon Blyth, our local teams are here to help you understand what is happening in your area and how current market conditions could affect your next move.
Whether you are thinking of selling, buying, downsizing or simply curious about your home’s current value, we would be delighted to help.