The Bank of England has voted to hold the base rate at 4.00% following November’s Monetary Policy Committee (MPC) meeting. It marks the second consecutive month without a change to rates, with a narrow 5–4 split among members. Four favoured a 0.25% cut to 3.75%.
Despite the hold, mortgage pricing continues to soften, with several major lenders reducing fixed rates in recent weeks as swap markets point towards further cuts by year-end.
Nationwide was the latest to act, introducing rate reductions across a range of products for home movers, remortgages and first-time buyers. Its most competitive rate is now 3.64% — a two-year fix at 60% loan-to-value, available to new and existing borrowers moving home, with a £1,499 fee.
While the MPC noted that inflation remains above target, with annual CPI holding steady at 3.8% in September, some members appear increasingly open to a downward move.
David Wise, Founder of Fitch & Fitch, commented:
“There was a slim chance of a cut this month, but persistent inflation and a degree of caution ahead of the Chancellor’s upcoming Budget meant the majority voted to wait. Still, the fact that four members supported a reduction is significant, and may signal a shift in sentiment ahead of December’s meeting.”
He added that a cut today would have provided a helpful boost for the housing market, particularly at a time when speculation continues around potential changes to property taxation in the Autumn Statement.
“Affordability remains a pressure point despite five rate reductions since last August. The positive news is that competition is returning, with several attractive fixed rates now available as lenders position for year-end business.”
Planning ahead still matters
For clients looking to buy or refinance before spring 2026, early preparation remains essential. Many lenders allow rates to be secured up to six months in advance — offering valuable peace of mind.
Should rates fall between application and completion, most lenders will allow clients to switch to a lower product before drawdown. Working with a whole-of-market broker like Fitch & Fitch can help you navigate these options with clarity and control – contact our highly experienced team today 0207 859 4098