The average five-year fixed-rate mortgage in the UK has reached 6.00% for the first time since September 2023, according to data from Moneyfacts cited by The Guardian. The two-year fixed rate sits at 5.98%, its highest level since December 2023.
Banks and building societies have raised prices as turbulence in bond markets increases expectations of a base rate rise. The higher costs reflect growing expenses for lenders to offer these mortgages.