Rate changes with effect from 1 October 2018
The Bank of England increased its Bank Base Rate (BBR) from 0.50% to 0.75% on 2 August 2018. Like all banks and building societies, BBR is one of a range of factors we consider when setting our savings and mortgage interest rates.
From 1 October 2018, we will be increasing our Standard Variable Rate (SVR) for mortgages by 0.16% and at the same time, we will be increasing the interest rates on the majority of our variable rate savings accounts.
What does this mean for our mortgage customers?
Our SVR will increase from 5.59% to 5.75% on 1 October 2018.
If you have a Bank Base Rate tracker mortgage, the interest rate charged on your account will already have increased, in accordance with the terms and conditions of your account. You will have already been notified of this change and the impact on your monthly mortgage repayments.
Discounted variable rate mortgages
If you have a discounted variable rate mortgage, the interest you pay is directly linked to our SVR and will therefore increase by 0.16% with effect from 1 October 2018. We will write to you before your payment is due, informing you what your new monthly mortgage repayment will be.
Fixed rate mortgages
If you have a fixed rate mortgage, your interest rate will remain the same until the fixed rate period ends.
If you have any questions or queries about your mortgage account, please visit your local branch or call us on 01623 676 340.
What does this mean for our savings customers?
Following the Bank Base Rate change, we will be applying interest rate increases to the majority of our variable rate savings accounts.
Tracker savings accounts
If you have a Bank Base Rate tracker savings account, the interest rate on your account will, subject to the terms and conditions of your account, have already increased by 0.25% with effect from 6 August 2018.
Variable rate savings accounts
The majority of our variable rate savings accounts will receive an increase that will be applied with effect from 1 October 2018. To find out how your account has been affected by these changes, you can download a summary information leaflet to find out more, or contact your nearest branch where we’d be pleased to help.
Fixed rate savings accounts
If you have a fixed rate savings account, your interest rate will not be affected by the Bank Base Rate increase.
Our product pages, interest rate summary leaflet and closed issue leaflet will be updated in due course. If you have any questions or queries about your savings account, please visit your local branch or call us on 01623 676 350.
Back to news