express-mortgages-rates-imageMost of us would assume that when the Bank of England (BoE) cuts its rate of lending, then interest rates for the public will also fall. Yet this has not been the case since Mr. Carney decided to cut the BoE rate following the Brexit vote.

Banks fund their lending from a mix of sources; Savers’ deposits being one, but the money markets form a significant portion of their supply of cash. Since August the fixed rates UK banks are paying to borrow money for two, three and five years has on average more than doubled – and this is starting to feed into the pricing of the mortgage products they are now offering.

In the past week, Skipton raised interest rates on certain of its products by 0.37% and Virgin Money has upped the cost of a range of products by around 10%.

With Christmas fast approaching we’re getting busier and busier – but here at Express Mortgages we’ve developed our advice process to deliver the ‘mortgage in your lunchtime’. This means for most people they can have a health check on their mortgage and associated financial products without having to make an appointment and spend two hours at the bank.

Happy Christmas and we look forward to speaking to you in the New Year.