Increase in the Bank Rate August 2023

The Bank of England increased the Bank Rate from 5% to 5.25% on 3 August 2023.

We know you’ve probably got some questions about what this could mean for you, so we’ve put together this guide to help with any queries.

Savings customers

For savers with accounts that track Bank Rate
Rates of interest will increase by 0.25% in line with product specific terms and conditions. These changes will take effect from Thursday 10 August 2023.

For savers with a variable rate savings account
Rates of interest will also increase by up to 0.25%. These changes will take effect from Thursday 10 August 2023. To see an overview of the changes being made to your account, visit our savings rate at a glance page.

For savers with a fixed rate savings account
These changes only affect variable rates. There are no changes to fixed rate accounts.

Mortgage customers

For borrowers with a tracker mortgage
The rate of interest you pay will increase by 0.25% in line with Bank Rate as part of your terms and conditions. The rate will increase on Tuesday 1 September 2023 and we’ll write to you to confirm your new mortgage rate and how much your monthly payment will be.

For borrowers on the Standard Variable Rate
We recently introduced a tiered approach to our Standard Variable Rate (SVR) and West Bromwich Mortgage Company Limited (WBMC) SVR.

The SVR is the rate applied when your mortgage with us comes to the end of its product offer period and you have not yet chosen another product offer to switch your mortgage to. Your mortgage will revert to the Society’s Standard Variable Rate (SVR) with a potential reduction applied dependent on your Loan to Value (LTV). This means that as a result of any increase in the value of your home or any reductions you make to your mortgage balance which reduces your LTV, you may benefit from a lower variable interest rate being charged.

The rates on all tiers of our SVR products will increase by 0.25%. The new rates can be found below. All mortgage borrowers on SVR have the option to switch to a new product with us through the switching process if they wish.

If you are currently on our SVR and would like to switch to another product, you can find out more from our 'Switching to a new mortgage deal' section.

For borrowers with a fixed rate mortgage
If you have a fixed rate mortgage, your payments will remain unchanged until your fixed rate ends.