Fixed mortgage rates rose again in August, ahead of the 17 September rate decision
The average 2-year fixed rate reached 4.92% in August, up from 3.93% in January, while Bank Rate has not moved. Mortgage approvals have fallen since the spring.
Written with AI from official figures, and checked number by number against the source data. How we make these articles
4.92% average 2-year fixed mortgage rate in August 2026, at 75% loan to value
The average quoted rate on a 2-year fixed mortgage was 4.92% in August, up from 4.79% in July, according to Bank of England figures for a mortgage at 75% of the property’s value. In January it was 3.93%, and a year ago it was 4.1%.
Five-year fixes followed the same path. The average 5-year fixed rate was 4.78% in August, up from 4.58% in July and 3.94% in January.
Bank Rate shown at its level at the end of each month. Source: Bank of England.
Show the figures
| Period | 2-year fixed | 5-year fixed | Bank Rate |
|---|---|---|---|
| Aug 2026 | 4.92% | 4.78% | 3.75% |
| Jul 2026 | 4.79% | 4.58% | 3.75% |
| Jun 2026 | 4.8% | 4.62% | 3.75% |
| May 2026 | 4.91% | 4.77% | 3.75% |
| Apr 2026 | 5.14% | 4.96% | 3.75% |
| Mar 2026 | 4.45% | 4.42% | 3.75% |
| Feb 2026 | 3.97% | 4% | 3.75% |
| Jan 2026 | 3.93% | 3.94% | 3.75% |
| Dec 2025 | 3.97% | 3.99% | 3.75% |
| Nov 2025 | 4.06% | 4.06% | 4% |
| Oct 2025 | 4.2% | 4.17% | 4% |
| Sep 2025 | 4.19% | 4.16% | 4% |
| Aug 2025 | 4.1% | 4.11% | 4% |
| Jul 2025 | 4.21% | 4.15% | 4.25% |
| Jun 2025 | 4.28% | 4.26% | 4.25% |
| May 2025 | 4.18% | 4.19% | 4.25% |
| Apr 2025 | 4.42% | 4.29% | 4.5% |
| Mar 2025 | 4.54% | 4.32% | 4.5% |
| Feb 2025 | 4.65% | 4.38% | 4.5% |
| Jan 2025 | 4.63% | 4.37% | 4.75% |
| Dec 2024 | 4.6% | 4.37% | 4.75% |
| Nov 2024 | 4.53% | 4.29% | 4.75% |
| Oct 2024 | 4.4% | 4.06% | 5% |
| Sep 2024 | 4.58% | 4.09% | 5% |
| Aug 2024 | 4.8% | 4.33% | 5% |
| Jul 2024 | 4.99% | 4.49% | 5.25% |
| Jun 2024 | 5.16% | 4.64% | 5.25% |
| May 2024 | 5.19% | 4.66% | 5.25% |
| Apr 2024 | 4.98% | 4.51% | 5.25% |
| Mar 2024 | 4.96% | 4.53% | 5.25% |
| Feb 2024 | 4.76% | 4.41% | 5.25% |
| Jan 2024 | 4.71% | 4.43% | 5.25% |
| Dec 2023 | 5.03% | 4.68% | 5.25% |
| Nov 2023 | 5.28% | 4.89% | 5.25% |
| Oct 2023 | 5.6% | 5.02% | 5.25% |
| Sep 2023 | 5.91% | 5.24% | 5.25% |
| Aug 2023 | 6.18% | 5.53% | 5.25% |
| Jul 2023 | 6.22% | 5.71% | 5% |
| Jun 2023 | 5.49% | 4.95% | 5% |
| May 2023 | 4.72% | 4.28% | 4.5% |
| Apr 2023 | 4.6% | 4.16% | 4.25% |
| Mar 2023 | 4.74% | 4.26% | 4.25% |
| Feb 2023 | 4.79% | 4.36% | 4% |
| Jan 2023 | 5.14% | 4.66% | 3.5% |
| Dec 2022 | 5.43% | 5.05% | 3.5% |
| Nov 2022 | 5.98% | 5.5% | 3% |
| Oct 2022 | 5.99% | 5.61% | 2.25% |
| Sep 2022 | 4.17% | 3.97% | 2.25% |
| Aug 2022 | 3.6% | 3.61% | 1.75% |
| Jul 2022 | 3.48% | 3.43% | 1.25% |
| Jun 2022 | 2.87% | 2.9% | 1.25% |
| May 2022 | 2.63% | 2.62% | 1% |
| Apr 2022 | 2.35% | 2.35% | 0.75% |
| Mar 2022 | 2.14% | 2.11% | 0.75% |
| Feb 2022 | 1.78% | 1.79% | 0.5% |
| Jan 2022 | 1.64% | 1.63% | 0.25% |
| Dec 2021 | 1.57% | 1.59% | 0.25% |
| Nov 2021 | 1.53% | 1.52% | 0.1% |
| Oct 2021 | 1.29% | 1.3% | 0.1% |
| Sep 2021 | 1.2% | 1.28% | 0.1% |
| Aug 2021 | 1.23% | 1.39% | 0.1% |
| Jul 2021 | 1.29% | 1.45% | 0.1% |
| Jun 2021 | 1.39% | 1.6% | 0.1% |
| May 2021 | 1.47% | 1.68% | 0.1% |
| Apr 2021 | 1.49% | 1.71% | 0.1% |
| Mar 2021 | 1.56% | 1.74% | 0.1% |
| Feb 2021 | 1.61% | 1.8% | 0.1% |
| Jan 2021 | 1.75% | 1.92% | 0.1% |
Bank Rate has not moved
Bank Rate has been 3.75% since 18 December 2025. Fixed mortgage rates are priced from what lenders expect interest rates to do over the whole fixed period, not from today’s Bank Rate alone, so they can rise while Bank Rate stays where it is. The average 2-year fix now sits 1.17 percentage points above Bank Rate.
This year the 2-year rate peaked at 5.14% in April, eased through May, June and July, then rose again in August.
Fewer buyers are getting mortgages
Lenders approved 56,053 mortgages for house purchase in July. That is down from 65,044 in April, a fall of 13.8%, and below the 65,905 approved in July last year.
Source: Bank of England.
Show the figures
| Period | Approvals |
|---|---|
| Jul 2026 | 56,053 |
| Jun 2026 | 58,215 |
| May 2026 | 56,396 |
| Apr 2026 | 65,044 |
| Mar 2026 | 62,920 |
| Feb 2026 | 62,278 |
| Jan 2026 | 60,145 |
| Dec 2025 | 61,395 |
| Nov 2025 | 64,592 |
| Oct 2025 | 64,762 |
| Sep 2025 | 66,053 |
| Aug 2025 | 65,278 |
| Jul 2025 | 65,905 |
| Jun 2025 | 64,721 |
| May 2025 | 62,618 |
| Apr 2025 | 59,736 |
| Mar 2025 | 63,461 |
| Feb 2025 | 64,611 |
| Jan 2025 | 66,270 |
| Dec 2024 | 66,942 |
| Nov 2024 | 65,907 |
| Oct 2024 | 67,846 |
| Sep 2024 | 65,596 |
| Aug 2024 | 65,361 |
| Jul 2024 | 62,854 |
| Jun 2024 | 61,254 |
| May 2024 | 60,800 |
| Apr 2024 | 61,208 |
| Mar 2024 | 61,146 |
| Feb 2024 | 59,676 |
| Jan 2024 | 56,032 |
| Dec 2023 | 52,530 |
| Nov 2023 | 50,287 |
| Oct 2023 | 48,082 |
| Sep 2023 | 44,027 |
| Aug 2023 | 45,321 |
| Jul 2023 | 49,374 |
| Jun 2023 | 54,705 |
| May 2023 | 50,905 |
| Apr 2023 | 48,637 |
| Mar 2023 | 50,893 |
| Feb 2023 | 42,811 |
| Jan 2023 | 39,798 |
| Dec 2022 | 41,509 |
| Nov 2022 | 46,719 |
| Oct 2022 | 57,801 |
| Sep 2022 | 64,911 |
| Aug 2022 | 72,198 |
| Jul 2022 | 62,829 |
| Jun 2022 | 62,949 |
| May 2022 | 66,363 |
| Apr 2022 | 65,749 |
| Mar 2022 | 68,641 |
| Feb 2022 | 68,151 |
| Jan 2022 | 73,949 |
| Dec 2021 | 72,795 |
| Nov 2021 | 69,467 |
| Oct 2021 | 68,335 |
| Sep 2021 | 70,574 |
| Aug 2021 | 71,056 |
| Jul 2021 | 72,563 |
| Jun 2021 | 79,325 |
| May 2021 | 86,023 |
| Apr 2021 | 85,102 |
| Mar 2021 | 80,907 |
| Feb 2021 | 84,411 |
| Jan 2021 | 97,181 |
Approvals are an early signal. They count buyers who have a lender’s agreement in place, and most of those turn into completed purchases over the following weeks and months. A fall in approvals tends to show up in sales figures later.
What to watch
The Bank of England’s Monetary Policy Committee announces its next decision on 17 September. Whatever it decides, fixed rates will continue to follow what lenders expect over the next two to five years, so the effect on mortgage offers may be smaller, or larger, than the headline decision suggests.
If you are selling
Most buyers need a mortgage, so rates shape what they can afford to offer and how quickly they can proceed. When rates rise, some buyers pause, others need to renegotiate, and chains become more fragile.
The lender’s valuation and survey are where a mortgage-dependent sale most often goes wrong. If that has happened to you, our page on sales that fall through on survey sets out what can be done next.
About these figures
Rates are the Bank of England’s monthly averages of quoted rates for 2-year and 5-year fixed mortgages at 75% loan to value. Approvals are seasonally adjusted UK approvals for house purchase. Bank Rate is shown at its level at the end of each month.