Bank Rate Rises to 4% (November 2026): What It Means for Your Mortgage and Savings
On 5 November 2026 the Bank of England’s Monetary Policy Committee voted 8 to 1 to raise Bank Rate from 3.75% to 4%. One member voted for a larger rise to 4.25%. The Bank pointed to higher energy prices pushing up inflation, which was 3.5% in September 2026 and is expected to reach around 5% by mid-2027. The next decision is due on 17 December 2026.
What changed
| Before | After | |
|---|---|---|
| Bank Rate | 3.75% | 4.00% |
| Change | +0.25 percentage points |
Mortgages
- Tracker mortgages usually follow Bank Rate directly, so payments rise from the next payment date set by your lender.
- Standard variable rate (SVR) mortgages often rise too, but the lender decides when and by how much.
- Fixed-rate mortgages do not change until the fixed deal ends. New fixed deals are priced on market expectations, so they may already reflect the rise.
Here is the repayment maths for a 0.25 point rise, starting from 4.5%:
| Loan and term | At 4.50% | At 4.75% | Extra per month |
|---|---|---|---|
| £150,000 over 25 years | £834 | £855 | about £21 |
| £200,000 over 25 years | £1,112 | £1,140 | about £29 |
| £300,000 over 30 years | £1,520 | £1,565 | about £45 |
Use the mortgage repayment calculator with your own balance, rate and term.
Savings
Easy-access and variable savings rates may rise, but banks do not have to pass the increase on. On £10,000, a rate 0.25 points higher earns about £25 more a year before tax. Check your Personal Savings Allowance and try the savings goal or compound interest calculators.
Sources
- Bank of England, November 2026 Monetary Policy Summary and Minutes
- Bank of England, Interest rates and Bank Rate
Figures are illustrative and use a standard repayment formula. Cash Maths is not FCA authorised and this is general information only, not financial advice.