The latest reports suggest that while the Bank of England Base Rate has remained stable, the mortgage market continues to adjust as lenders fine-tune pricing amid steady inflation.
Moneyfacts Report – Average Fixed Rates Hold Steady
According to a recent Moneyfacts report, average two- and five-year fixed mortgage rates remained broadly unchanged despite various lender adjustments.
While some providers have increased pricing, others have introduced small reductions, leading to an overall period of relative calm in the fixed-rate market.
Rachel Springall, finance expert at Moneyfactscompare, commented:
“Borrowers may feel somewhat frustrated that fixed mortgage rates have not fallen as much as they expected, but the fact they are holding steady could be seen as a sign of underlying stability in the market.”
Lender Adjustments – Halifax, NatWest and Saffron Building Society
In recent weeks, Halifax, NatWest and Saffron BS made adjustments to their mortgage ranges.
Halifax reduced selected fixed-rate products by up to 0.20%, while NatWest and Saffron Building Society made targeted changes across residential and buy-to-let categories.
These moves show that while the overall market is stable, lenders are continuing to tweak their pricing to remain competitive.
Clydesdale Bank Moves on Variable Rates
Clydesdale Bank also made headlines this month after withdrawing some of its existing variable-rate products and launching new ones.
This type of change underlines how variable and tracker products remain sensitive to market sentiment and funding costs, even when the base rate itself is unchanged.
Barclays and NatWest React to Market Conditions
Meanwhile, Barclays and NatWest also announced further updates.
Barclays increased selected residential fixed rates, while NatWest temporarily withdrew some buy-to-let deals, citing demand and market performance as key factors.
These moves reinforce the mixed picture across lenders, with strategies varying depending on funding costs and market position.
Inflation Data – The Wider Picture
On the economic front, inflation has remained largely unchanged according to The Intermediary, holding at 3.8% in September 2025.
This has eased pressure on the Bank of England to make immediate rate changes, but also signals that inflation is proving stubbornly sticky.
Economists have suggested that future cuts will likely be slow and measured, with policymakers wary of reigniting price pressures too quickly.
Our Thoughts
The latest updates show a market that is settling into a new rhythm.
While some borrowers may have hoped for further cuts, stability itself is positive news.
We’re seeing steady activity levels from clients who are keen to secure certainty before any potential shifts later in the year.
Lenders are continuing to refine their ranges rather than making sweeping changes, which suggests that competition is healthy and funding remains available.
That said, affordability still varies widely, and with inflation holding firm, the likelihood of significant rate reductions in the near term remains limited.
For those approaching the end of a fixed deal, now is a good time to review options early and consider locking in a rate to protect against potential volatility.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Information correct at time of writing – October 2025.
