Interest rates live: Reeves says cut could knock £100 off monthly mortgage payments for first-time buyers
First-time buyers could save £100 a month after interest rate cuts, says Reeves
- The Bank of England's Monetary Policy Committee voted to cut interest rates from 4 per cent to 3.75 per cent.
- This marks the fourth rate cut of the year, driven by easing inflation, and brings rates to their lowest point in nearly three years.
- Rachel Reeves stated that this cut could save first-time buyers with an average-sized mortgage £100 per month.
- While a blow to savings rates, the cut is expected to boost the wider mortgage market, with lenders adjusting new product rates.
- Approximately 1.9 million people are anticipated to see their fixed-rate mortgage deals conclude in 2026, potentially benefiting from these changes.