# Interest rates expected to rise for first time in over three years

- URL: https://talkfuse.com/story/interest-rates-expected-to-rise-for-first-time-in-over-three-years/
- Published: 2026-11-05T00:00:09+00:00
- Updated: 2026-11-05T00:35:31+00:00
- Original publisher: BBC Business (publisher lean: Centre)
- Original article: https://www.bbc.co.uk/news/articles/ck5ynw45jrgqo?at_medium=RSS&at_campaign=rss
- Topics: Business, Economy

## Key points

- A rise from 3.75% to 4% is widely expected.
- Inflation is at 3.5%, above the Bank’s 2% target.
- Tracker mortgage repayments could rise by about £31 monthly.

## Summary

The Bank of England is expected to raise its benchmark interest rate on Thursday for the first time since August 2023, with analysts forecasting an increase from 3.75% to 4%. A rise would make borrowing more expensive for many households and businesses, while potentially improving returns for savers; the Bank’s guidance on whether further increases may follow will also be closely watched.

Inflation reached 3.5% in the year to September 2026, above the Bank’s 2% target, with higher fuel and energy costs among the drivers. A quarter-point rise would add about £31 a month to repayments for a typical tracker mortgage and around £14 for a typical variable-rate mortgage, depending on lenders’ decisions. Fixed-rate payments would not change immediately, but average new fixed rates were close to 6%, and some borrowers remortgaging face substantially higher bills than in 2021.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.