On 5th May 2022, the Monetary Policy Committee (MPC) voted to increase the Bank of England (BoE) Base Rate from 0.75% to 1.00%.
What does this mean for my clients?
We will be increasing the rates for mortgage customers. The questions and answers below are designed to give you the latest information available.
When will the interest rate change on tracker products?
Our trackers will change on 1st June 2022 and we'll be writing to customers whose rate is increasing.
Will the Standard Variable Rate change?
We have not made a decision regarding our Standard Variable Rate, this is currently under review. We will update our website when we do and write to customers whose interest rate is changing.
When will mortgage payments change?
If the account is on annual review, the mortgage payment will not change until March 2023. We will let customers know how they can request a payment recalculation when we write to them.
What is the Bank of England (BoE) Base Rate?
The BoE Base Rate is the rate of interest the Bank of England charges banks and building societies to borrow money. This affects the interest rates set by those banks and building societies for their customers. Any change to Base Rate, may impact the interest rates on savings and mortgages products.
What is a Bank of England Rate change?
This is when the Bank of England’s Monetary Policy Committee (MPC) determines that – in the best interest of the overall economy - that the Bank of England’s Base Rate needs to be adjusted from its current rate (this can either be an increase or a decrease).
What was the previous Bank of England Rate change?
The previous Bank of England Base Rate change was from 0.50% to 0.75% on 17th March 2022.
What happens if the Bank of England Base Rate changes again in the future?
We would need to review the impact of any further Bank Rate changes in the context of the market and other economic factors at any such time.
When could the Base Rate change again in the future?
The Base Rate will change when the when the Monetary Policy Committee determines that the UK economy needs to adjust to remain stable and sustainable.
The Bank of England’s Monetary Policy Committee regularly reviews the Base Rate (normally on a monthly basis) to determine whether a change is required.
Please choose from the following options
So we can direct you to the right part of our website, please select from the login options below:
NEW BUSINESS - ACCORD MSO
To create an illustration, submit a DIP, upload documents or to track an application for new customers: