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UK Household Bills · Q2 2026 cap · Next change 27 May
Last verified 19 May 2026
⚡ Payment Shock Alert

Coming Off a Fixed Deal?

Compare your old mortgage payment with what you'd pay on a new mortgage at today's rates. Around 800,000 UK households face this situation each year through to 2027.

Typical increase: £359/month (+41%) for £175k balance @ 1.8% → 5.75%

You're not alone — 800,000 mortgages are repricing every year

If you're coming off a 1–3% fixed-rate deal in the next 18 months, your new mortgage payment will almost certainly be substantially higher. You're part of a cohort of roughly 800,000 UK households each year, through to the end of 2027, who took out cheap fixed-rate mortgages between 2020 and 2022 and are now remortgaging into a market where the average two-year fix is 5.75%.

Old 1.8% rate
£869/month
New 5.75% rate
£1,228/month
Monthly increase
+£359 (+41%)
Annual increase
+£4,308

Example: £175k balance, 20 years remaining. Source: BBC News, April 2026

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Current 2-year fixed average: 5.75%

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What works when your fixed deal ends

1. Lock in early

Most lenders let you secure a new deal six months before your current one expires. If swap rates keep moving, the deal you can secure today may be better than the one available in six months.

2. Compare against trackers

Two-year trackers are currently averaging 4.55% — over a percentage point cheaper than the fixed equivalent. If you can tolerate payment variability and you believe the base rate is more likely to fall than rise, the tracker arithmetic stacks up.

3. Use the overpayment buffer

If you've been overpaying your old mortgage and your new payment is genuinely affordable without that overpayment, you've already proven you can carry the larger payment.

4. Extend the term — carefully

Stretching a 20-year remaining term to 25 years reduces the monthly payment but increases total interest meaningfully. Worth modelling exactly before committing.

Sources:
• 800k cohort data: BBC News, April 2026
• Current rates: Moneyfacts via Forbes Advisor
• Bank of England base rate: BoE Bank Rate history