What is the Bank of England base rate?
It is the official Bank Rate set by the Bank of England and it affects the interest rates offered by Banks, Building Societies and other financial institutions. By changing the official Bank Rate, the Bank of England seeks to influence overall borrowing in the economy.
The Bank of England base rate can go up or down and is announced at the Bank of England’s Monetary Policy Committee (MPC).
On 11th March 2020 the Bank of England base rate decreased from 0.75% to 0.25%.
On 19th March 2020 the Bank of England base rate decreased from 0.25% to 0.10%.
For our Mortgage customers on Tracker rates, your overall mortgage interest rate will decrease by 0.50% effective from 1 April 2020 and will decrease by a further 0.15% effective from 1 May 2020.
For our Mortgage customers on the Co-operative Bank’s Standard Variable Rate, the rate will decrease from 4.99% to 4.49% effective from 1 April 2020, and further decrease from 4.49% to 4.34% effective from 1 May 2020. For our Savings customers, we are currently reviewing our savings rates and we will communicate any changes in due course once a decision has been made.
To find out more about the Bank of England Base Rate please visit our support page.