{
  "id": 7315740,
  "title": "Mortgage rates at five-month high ahead of Bank of England decision",
  "url": "https://urgent.news/2026/09/14/mortgage-rates-at-five-month-high-ahead-of-bank-of-england-decision",
  "topic": "business",
  "section": "Business",
  "published": "2026-09-14T12:36:02.000Z",
  "source": {
    "name": "City AM",
    "slug": "city-am",
    "url": "https://www.cityam.com/mortgage-rates-at-five-month-high-ahead-of-bank-of-england-decision/"
  },
  "original_language": "en",
  "account": "Mortgage rates have soared to their highest level in nearly five months, leading prospective homeowners to anticipate more financial struggles in the near future. Following the Bank of England’s upcoming interest rate decision, 25 lenders have increased their mortgage deals, including giants such as HSBC, Lloyds, and Nationwide. The average two-year fixed rate has hit its highest in over a year at 5.67 percent, while the five-year fixed rate has reached April's peak at 5.72 percent.\n\nAdam French, head of consumer finance at Moneyfacts, explained that mortgage rates have only recently aligned with earlier hikes in swap rates, implying that lenders will now face additional pressure to adjust their rates. Unless swap rates decrease substantially, borrowers should brace themselves for further rate hikes in the coming weeks. The market's volatility stems from the re-pricing of swap rates, which serve as the foundation for fixed-rate mortgage pricing and reflect expectations regarding future interest rates over two, five, or ten-year terms.\n\nThe Bank of England's Monetary Policy Committee (MPC) is scheduled to meet on Thursday, with expectations that they will keep rates steady at 3.75 percent. However, City economists are beginning to consider the likelihood of a rate hike in November, following renewed inflationary pressures stemming from the US-Iran war. The European Central Bank recently increased its base rate to 2.5 percent due to ongoing energy shock effects across the eurozone.\n\nRecent data reveals a decline in UK mortgage approvals, falling to 56,100 in July from 58,200 the previous month. Net borrowing also plummeted to £4.3 billion from £7.7 billion, as the economic consequences of the war begin to take hold. As a result, property portal Zoopla predicts that annual rental sector price growth in the UK will reach four to five percent this year, driven by the pressures of elevated mortgage rates. According to Richard Donnell, executive director at Zoopla, higher mortgage rates are not only affecting the sales market but are also compelling more prospective first-time buyers to remain in rented accommodations for longer periods, thereby reducing supply as the seasonal demand uptick gains momentum.",
  "summary": "Borrowers are bracing for more mortgage woes ahead of the Bank of England’s interest rate decision this week. Mortgage rates have climbed to their highest level in nearly five months after some 25 lenders hiked their deals in the last week including the likes of HSBC, Lloyds and Nationwide. The average two-year fix has risen [...]",
  "key_points": [
    "Mortgage rates hit five-month high at 5.67% for two-year fixed",
    "Average five-year fixed rate peaks at 5.72%, highest since April",
    "Bank of England meeting Thursday may lead to rate hike in November"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Banking Dive",
        "title": "Citizens Bank accuses SoFi of poaching 30 mortgage employees",
        "url": "https://urgent.news/2026/09/14/citizens-bank-accuses-sofi-of-poaching-30-mortgage-employees",
        "published": "2026-09-14T16:22:20.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}