UK rates are rising fast. We answer the questions every homeowner is asking right now — in plain English, with no jargon and no sales pitch.
Get your answer →Should I fix? Should I remortgage? What if I can't afford it? All answered below.
This is the question every homeowner in the UK is asking right now. And the honest answer depends on your personal situation — but here is the context you need to make that decision.
If your current deal ends within the next 6 months, you should almost certainly be speaking to a broker now. Rates have already risen sharply in March 2026 and lenders are pulling deals with little warning.
Before the conflict in the Middle East escalated in late February 2026, many analysts expected mortgage rates to fall through the year. That picture has changed significantly. Several major lenders have now increased their fixed rates and removed products from the market within days of each other.
The average two-year fixed rate has climbed back above 5% for the first time since late 2024. Five-year deals are also rising, though more slowly — because lenders are pricing in the expectation that rates may fall back once the current crisis stabilises.
You can lock in a new mortgage rate up to 6 months before your current deal ends — and you don't have to use it if something better comes along. There's very little downside to starting the process now.
Whether you should fix for 2 years or 5 years is a genuine judgement call. A 2-year fix gives you flexibility but you'll be exposed to whatever rates look like in 2028. A 5-year fix gives you certainty but you could end up paying more if rates fall faster than expected.
The single most useful thing you can do right now is speak to a whole-of-market broker who can compare every available deal for free. They're paid by the lender, not by you.
This is one of the hardest situations to be in, and if you are reading this, you are probably already anxious. The most important thing to know is that you have more options than you might think — and the worst thing you can do is ignore the problem.
Contact your lender before you miss a payment, not after. Lenders are legally required to treat you fairly and must consider options before starting any repossession process. Calling them first puts you in a much stronger position.
Most lenders have a dedicated team for customers in financial difficulty. They will not immediately threaten repossession — that is a very last resort, and there are many steps before that point.
Most lenders will grant a temporary pause on payments for customers in genuine hardship. Interest still accrues but it buys you breathing space.
This significantly reduces your monthly payment while you get back on your feet. It is a standard option most lenders offer.
Spreading the loan over more years reduces monthly payments. A broker can run through the numbers for your specific situation.
Support for Mortgage Interest (SMI) is a government scheme that may help if you receive certain benefits. Many eligible people do not claim it.
If you are seriously struggling, free debt advice is available from StepChange, Citizens Advice, and National Debtline — all free, confidential, and genuinely helpful.
Rates are moving quickly in March 2026 so any specific numbers we publish here may be out of date within days. Instead, here is what to look for and where to find the most current deals.
Several lenders withdrew products with less than 24 hours notice in March 2026. If you see a rate you want, do not wait — speak to a broker the same day.
As a general guide, here is the approximate rate landscape as of late March 2026:
| Product type | Approx. rate | Best for |
|---|---|---|
| 2-year fixed (60% LTV) | ~4.8% – 5.2% | Flexibility, expect rates to fall |
| 5-year fixed (60% LTV) | ~4.5% – 4.9% | Certainty, longer term security |
| 2-year fixed (75% LTV) | ~5.0% – 5.5% | Lower equity, shorter term |
| 5-year fixed (75% LTV) | ~4.8% – 5.2% | Lower equity, longer security |
| Tracker / variable | ~5.5%+ (volatile) | Higher risk, potential upside |
The best rates are available to people with the most equity in their home (60% loan to value or less). If you have paid off a significant chunk of your mortgage, you may qualify for better deals than you expect.
The fastest and most reliable way to see the actual best rate available to you — taking into account your equity, income, credit history, and the full market — is a whole-of-market comparison. A broker does this for free.
If you are on a fixed rate deal that is ending soon, this is probably the number keeping you up at night. Let us give you an honest framework for working it out.
Every 1% increase in your mortgage rate on a £200,000 outstanding balance adds approximately £167 per month to your payments. On £300,000 it is approximately £250 per month.
If you fixed at 1.5% two or three years ago and are now looking at rates of 4.8% to 5.2%, you are looking at an increase of around 3.3 to 3.7 percentage points. On a typical £250,000 mortgage that translates to roughly £400 to £460 more per month — a significant and painful increase for most households.
However, the actual number depends on your specific balance, remaining term, and the rate you qualify for. The only way to get an accurate figure is to run the numbers against your actual situation.
| Loan balance | Old rate 1.5% | New rate 5.0% | Monthly increase |
|---|---|---|---|
| £150,000 | ~£600/mo | ~£877/mo | +£277 |
| £200,000 | ~£800/mo | ~£1,170/mo | +£370 |
| £300,000 | ~£1,200/mo | ~£1,755/mo | +£555 |
| £400,000 | ~£1,600/mo | ~£2,340/mo | +£740 |
These are approximate figures based on a 25-year repayment mortgage. Your actual payments will vary based on your remaining term and the specific rate you qualify for.
The best way to reduce that increase is to shop the whole market for the best available rate rather than simply accepting your current lender's renewal offer. Even half a percentage point makes a meaningful difference over two or five years.
This is genuinely one of the hardest calls to make right now because it depends on two things nobody can predict with certainty: how long the current crisis lasts, and what the Bank of England does with interest rates in response.
If your deal ends within 6 months, start the process now. You can secure a rate today and still switch to something better if rates improve before your deal completes. Waiting costs you nothing if you act early — but waiting too long could cost you significantly.
The case for remortgaging now is straightforward. Rates have risen sharply and unpredictably in March 2026. Several lenders withdrew products overnight. The risk of rates continuing to rise — at least in the short term — is very real while global energy markets remain volatile.
The case for waiting is that some analysts believe the current spike is temporary. If a ceasefire or diplomatic resolution reduces oil market pressure, the Bank of England may not need to raise rates significantly, and fixed mortgage rates could fall back later in 2026.
You can apply for a new fixed rate up to 6 months before your current deal ends and lock it in now. If a better rate appears before completion, you can often switch to that instead. This gives you a safety net without fully committing.
What almost everyone agrees on is that sitting on your lender's Standard Variable Rate (SVR) — which is where you automatically go when your deal ends — is the most expensive option of all. SVRs are currently running at 7% to 8.5% with most lenders. That is money you do not need to spend.
The single most useful step right now is a free conversation with a whole-of-market broker. They can show you what is available today, what you could save, and what the realistic scenarios look like for your specific situation.