NO CHANGE. AGAIN!
On Thursday 17 September 2026 the Bank of England held Bank Rate at 3.75%. If you have been waiting for a clear signal before making a move, that can feel like another month of nothing happening.
It is not quite that. Inflation rose to 3.1% in the twelve months to August (ONS, 16 September 2026), and the price of a new fixed rate mortgage has been creeping up for months, even while Bank Rate has stood still. Here is what the hold means for your mortgage, and what is worth doing while things are steady.
What does a hold actually change?
Nothing overnight. Tracker rates stay where they are, standard variable rates have no new reason to move, and fixed deals were never going to change mid-term anyway.
Bank Rate is the interest rate the Bank of England pays commercial banks on the money they hold with it, and it sets the tone for what lenders charge everyone else. Holding it means the Bank has judged that 3.75% is the right setting for now.
What does a hold mean for the average mortgage?
For the average homeowner, this month’s payment is the same as last month’s. The real question is what happens when their fixed deal ends.
Most people are on a fix. Figures from the Financial Conduct Authority show that 91% of the money owed on regulated UK mortgages was on fixed rates in the first three months of 2026 (FCA, published in the Scottish Government’s Housing Market Review, July 2026). A hold changes nothing for them until their deal runs out.
The catch is that the deals waiting for them have been getting more expensive. Moneyfacts put the average two-year fixed rate at 5.63% on 7 September 2026, compared with 4.96% at the start of September 2025 (Moneyfacts).
In July, the Bank of England projected that the typical homeowner coming off a fixed rate in the next two years would see their monthly payment rise by around £45. For people still on very low rates from a few years ago, the jump is bigger. The same report said nearly 750,000 households paying less than 3% would roll off their fixes during 2026, with an average rise of £170 a month (Bank of England Financial Stability Report, July 2026).
If you are on a tracker or your lender’s standard variable rate, a hold simply means your payment stays put for now.
Why are fixed rates rising when Bank Rate has not moved?
Because fixed deals are priced on what the money markets expect to happen next, not on today’s Bank Rate.
Lenders fund fixed rate mortgages at rates set in the money markets, and those rates reflect where investors think Bank Rate is heading over the next two or five years. At the start of September, financial markets were pricing in three rate rises through to the middle of 2027, starting in November (Reuters, 8 September 2026). Those expectations are already baked into the price of a new fix.
Forecasts are just that, forecasts, and expectations can change quickly in either direction. But it explains why the word “held” and the price of a new mortgage can tell two very different stories.
Where is the real news in a hold?
In the vote, and in the Bank’s wording.
Nine people sit on the Monetary Policy Committee, and each of them votes. In July the Committee voted 6 to 3 to hold Bank Rate at 3.75%, and all three members in the minority wanted to raise it to 4%, not cut it (Bank of England, July 2026). A split like that tells you far more about the direction of travel than the word “held” ever will.
So when you read about this decision, look for how the nine voted and what the Bank says about inflation. Those are the clues to what might happen in November.
What should you do if you are buying?
Use the calm to pin down your real numbers.
Lenders test affordability against a stress-tested rate that is higher than the one you would actually pay, so your ceiling is rarely the figure you have in your head. A steady month is a good time to find out the real one.
- Get your decision in principle refreshed, especially if your last one is more than a few weeks old. Fixed rates have moved even though Bank Rate has not.
- Ask your broker whether you can secure a rate now and still switch to a cheaper one if it appears before you complete.
- Be ready to move when you find the right home. In a steady market, the prepared buyer is the one a seller takes seriously.
What should you do if you are selling?
Price on evidence. A hold gives the market no new push in either direction.
- Ask your agent for the recent comparable sales behind your asking price, not just the number.
- Remember your buyers are paying today’s fixed rates, not last year’s. Their monthly budget may well have tightened, even though Bank Rate has not moved.
- Make the first two weeks count. Good photography, accurate information and a sensible price will do far more for your sale than any rate decision.
What does a hold mean for landlords?
Predictable costs for now, which makes this a good month for the planning jobs rather than the dramatic ones.
- Diarise every buy-to-let deal end date six months ahead. That is the window when you still have choices rather than a default rate.
- Before you commit to anything new, ask a broker how the interest coverage calculation looks at today’s rates. Buy-to-let borrowing is assessed against the rent, and that test often limits what you can borrow more than the monthly payment does.
- Review your rent against genuine local evidence, and follow the rules on how and when it can change. Since 1 May 2026, rent can normally only go up once a year, using the section 13 procedure with at least two months’ notice.
And a good tenant in a well-run home is still worth far more to your year than a rushed rent review.
And what does a hold mean if you are renting?
Your landlord’s mortgage costs have no new reason to change this month, which is usually the calmest backdrop for a tenancy.
If a rent increase does arrive, the rules give you some important protection. Since 1 May 2026, under the Renters’ Rights Act, a landlord can normally only increase the rent once a year, must give you at least two months’ notice using the proper section 13 procedure, and you can challenge an increase you believe is above the market rate.
If you are saving to buy, a steady month is a good time to ask a broker what you could borrow, so you know exactly what you are working towards.
Frequently asked questions
Does a hold mean my mortgage payment stays the same?
Yes, for now. Bank Rate is unchanged, so tracker and standard variable rates have no new reason to move. Fixed rate payments stay the same until the deal ends.
Why are fixed mortgage rates going up if Bank Rate has been held?
Because fixed deals are priced on what markets expect Bank Rate to do in future. At the start of September, markets were expecting rises from November, and that expectation is already in the price of a new fix.
Should I wait for rates to fall before I move?
Only if you can say what you are waiting for, and by when. Before this decision, markets were expecting rates to rise rather than fall, and economists quoted by Reuters suggested any cut may now be delayed until late 2027. Waiting has its own costs, so talk your timing through with an agent and a broker.
My fixed rate ends soon. What should I do?
Speak to a broker or your lender now. You can often secure a new deal months before your current one ends, and doing nothing usually means moving onto your lender’s standard variable rate, which is typically much more expensive. Check for early repayment charges before you switch.
When is the next Bank of England rate decision?
The next announcement is due on Thursday 5 November 2026, alongside the Bank’s next Monetary Policy Report.
If you have been waiting for a signal before you make a move, we are happy to talk it through with you honestly, including telling you if we think waiting is the right call. Get in touch whenever suits you.
This article is for general information only and does not constitute financial or legal advice. Mortgage decisions depend on your own circumstances, so always speak to a qualified adviser before you act.
If you know someone weighing up a move and second-guessing themselves over interest rates, please share this with them.
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Sources: Bank of England, Bank Rate decision of 17 September 2026, and Monetary Policy Summary and minutes, July 2026 (published 30 July 2026). Office for National Statistics, Consumer price inflation, UK: August 2026 (released 16 September 2026). Reuters poll of 65 economists, 4 to 8 September 2026 (published 8 September 2026). Financial Conduct Authority data on fixed-rate mortgage balances, Q1 2026, as published in the Scottish Government’s Scottish Housing Market Review Q2 2026 (July 2026). Bank of England, Financial Stability Report, July 2026. Moneyfacts, Hopes dashed as mortgage rate rises loom (7 September 2026) and Number of deals soars as rate cuts slow (9 September 2025). GOV.UK, Implementing the Renters’ Rights Act 2025: our roadmap for reforming the private rented sector (rent increase rules from 1 May 2026). Checked 16 September 2026.