A survey of the top 15 largest lenders in the UK reveals that on average standard variable rates (SVR) will be 0.27% higher than the previous time the Bank of England Base Rate stood at 4.75%, assuming that lenders today pass on the 0.25% rise on their SVR mortgages.
Simon Jones, Director at Savills Private Finance says:
“I am sure that lenders will pass on the latest 0.25% increase although our research reveals that if they were to do so, they would be pricing their SVR mortgages at 0.27%* higher than they were three years ago when rates were also 4.75%. Perhaps lenders should consider foregoing this quarter point rise to bring themselves back in line with previous levels.”
