Base rate information

How does the base rate affect your mortgage?

If you currently hold a mortgage with us and it is affected by a change in the base rate, we will always write to you to inform you of any changes to your interest rate and monthly payments ahead of your next monthly payment due date.

Tracker Mortgages

If you hold a Tracker Mortgage with us, the interest rate will track the Bank of England base rate. This means it will rise and fall whenever the base rate does.

Any changes will always be in accordance with your terms and conditions or offer letter, so if your product has a floored rate your mortgage interest rate will not fall below the rate stated in your terms and conditions.

Following the change in the Bank of England base rate on 1 August 2024, The Co-operative Bank’s Standard Variable Rate decreased from 8.12% to 7.87% effective from 5 August 2024.

Standard Variable Rate Mortgages

If you hold a Standard Variable Rate Mortgage with us, it is possible that your interest rate will change if the base rate changes, but this is not guaranteed as they are not directly linked.

Following the change in the Bank of England base rate on 1 August 2024, The Co-operative Bank’s Standard Variable Rate decreased from 8.12% to 7.87% effective from 5 August 2024.

Fixed Rate Mortgages

With our Fixed Rate Mortgages, the interest rate does not change and your monthly payments are guaranteed to remain the same until the end of your Fixed Rate interest period. The Bank of England base rate has no effect on this, regardless of whether it changes.

When your Fixed Rate ends, we will contact you to inform you of your new interest rate and monthly payments.

How does the base rate affect your savings account?

Variable Rate Savings Accounts

The base rate is one of a number of things we look at when reviewing the interest rates of our variable rate savings accounts. Whenever the base rate changes, we review the interest rates of our variable rate savings accounts and could decide to change them.

Fixed Rate Savings Accounts

If you hold a Fixed Rate Savings Account with us, such as The Co-operative Bank Fixed Term Deposit, your interest rate will remain the same throughout the term of the product.

The Bank of England base rate has no effect on Fixed Rate products, regardless of whether the base rate changes.

Tracker Savings Accounts

If you hold a Base Rate Tracker Savings account with us, the interest rate is variable and tracks at a margin below the Bank of England base rate dependent on your account balance. This means it will rise and fall whenever the base rate does.

Any changes will always be in accordance with your terms and conditions. The minimum interest rate is 0.00%. This means that we may pay no interest dependent on your account balance and the defined margin below Bank of England base rate at that time.

Following a change to the Bank of England base rate, the interest rate on the Base Rate Tracker savings account will increase/decrease without notice within 14 business days of the announcement.

If you have a linked savings account, such as a Privilege Premier, Privilege or Savings Plus savings account, any increase to the Bank of England base rate will be applied to your account in line with the relevant rate commitment within a reasonable period and in any event no later than 42 days after the base rate change.

Interest rates for our current savings products

Here you'll find the interest rates for all our current products.

Have more questions?

Visit our Help and Information pages to find out more about the base rate change and how this affects our customers.