The Bank of England have today voted to hold interest rates at 4.75 per cent.

While it is no surprise that the Bank of England has maintained interest rates at 4.75 per cent given the recent rise in inflation, borrowers will still be disappointed.

The trend in new mortgage pricing is downwards but mortgage rates are likely to continue to yo-yo over the next three months. Swap rates, which underpin the pricing of fixed-rate mortgages, have been gradually falling for a month but all those falls have been wiped out over the past three days.

It is only when we start getting regular base rate cuts that the market will react favourably and Swap rates will fall. Until then they will continue to fluctuate as much as we have seen over the past 12 months, which makes it harder for lenders to consistently offer lower mortgage rates.

Those looking to remortgage in coming months should plan ahead as much as possible, speaking to a whole-of-market broker such as SPF Private Clients ideally six to seven months before their current deal ends to reserve a rate. Should rates rise by the time you take out your mortgage, you are protected from those increases, but if rates fall, you can ask your broker to review what is available nearer the time.