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Home › Finance › Mortgage Rates Won't Fall This Year — Here's What to Do Now
Finance ⏱ 2 min read min read 📅 Updated Apr 2026

Mortgage Rates Won't Fall This Year — Here's What to Do Now

Middle East tensions have killed hopes of mortgage rate cuts. Here's exactly what to do if you're remortgaging, buying or on SVR in 2026.

CT
Chandraketu Tripathi
Finance Editor, Kaeltripton
Published 3 Apr 2026
Last reviewed 3 Apr 2026
✓ Fact-checked
Mortgage Rates Won't Fall This Year — Here's What to Do Now

Breaking — April 2026

If you were hoping mortgage rates would fall significantly this year, that hope has now been officially shelved. Conflict in the Middle East has sent UK gilt yields surging — and lenders have responded by raising fixed mortgage rates rather than cutting them.

The Bank of England base rate has remained unchanged, but gilt yields — the rate the government pays to borrow — drive fixed mortgage pricing. And they've spiked hard.

What this means: Anyone hoping for a base rate cut to bring mortgage costs down in 2026 may be waiting until 2027 at the earliest. The OECD has downgraded UK growth to just 0.7% for 2026 and raised inflation forecasts to 4%.

Who Is Most Affected?

Mortgage TypeSituation — April 2026Action
Fixed deal expiring in 3–6 monthsWill remortgage onto higher ratesLock in a deal now — offers held 6 months
Tracker mortgageMoves with base rate — stable for nowConsider fixing for certainty
Standard Variable Rate (SVR)Expensive — avg SVR ~7.5%Remortgage immediately
First-time buyerRates high but lenders competingUse a broker to find best LTV deal

What Should You Do Right Now?

✅ Action Plan — April 2026

  • Expiring within 6 months? Lock in a new deal now — you can reserve a rate up to 6 months ahead.
  • On SVR? You're likely paying 7%+. Remortgage as a priority.
  • On a tracker? Relatively protected for now — but watch for further escalation.
  • Buying for first time? Use a whole-of-market broker — rates vary by up to 1% for the same LTV.

Current Mortgage Rates — April 2026

ProductRate (April 2026)LTV
2-year fixed4.79% – 5.20%60–90% LTV
5-year fixed4.59% – 4.95%60–90% LTV
Tracker~5.0% currentlyVaries
SVR (average)7.49%N/A
Bottom line: Don't wait for rates to fall. If your deal is ending, lock in now. If you're on SVR, you're overpaying today. Use a whole-of-market broker — not your existing lender — to find the best deal.

By Chandraketu Tripathi · Updated April 2026 · kaeltripton.com
CT
Chandraketu Tripathi
Finance Editor · Kaeltripton.com
22 years in global marketing and finance publishing. Specialist in UK personal finance, insurance, tax and consumer money guides.
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