Following the decision to increase the Bank of England base rate by 0.25% from 0.25% to 0.50%, we can confirm the following for existing mortgage customers:
- All tracker mortgage products linked to base rate will automatically change from the beginning of March. This includes Santander’s Follow-on Rate (FoR), which will increase from 3.50% to 3.75%.
- Santander and Alliance & Leicester Standard Variable Rates will increase by 0.25% from 4.49% to 4.74% from the beginning of March.
If a customer’s existing Santander mortgage is affected, they’ll receive a letter notifying them of their new interest rate and new monthly payment a minimum of 5 days before their monthly payment changes.
All tracker rates and reversionary rates on our new business and internal transfer tracker products will increase in line with the base rate on Tuesday 8 February.
Further information
- Any pipeline applications already submitted and/or offered are not affected so you do not need to do anything.
- Take a look at our base rate FAQs for more information.
