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Should you fix?

Journalist: Frances Ivens, Telegraph

ended 08. May 2025

Questions for Telegraph Money guide on fixing your mortgage:

  • With the Bank of England expected to cut its Base Rate today with more reductions expected this year, are you advising mortgage borrowers to avoid fixing yet if possible?
  • How low are you expecting fixed rates to go?

11 responses from the Newspage community

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Ben Perks
Managing Director at Orchard Financial Advisers
It all depends on your appetite for risk and financial stability. It’s a very personal decision. With rates expected to reduce further this year, there’s a growing appetite for variable rate mortgages. But, for many, the cost of living crisis is still biting and the need to micromanage the household budget takes priority so fixed rates are the way forward. It’s a real mixed bag.
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Riz Malik
Independent Financial Adviser at R3 Wealth
Even with the prospect of lower rates, many clients still prefer the security of a fixed deal, which is understandable after the sharp jump from historic lows. That said, trackers are getting more attention than in recent years, especially those without early exit fees, giving borrowers flexibility if the market shifts.
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Mike Staton
Director at Staton Mortgages
Your choice of fixing or not should be based on your own individual circumstances and not solely on what you think the Bank of England are going to do. The mortgage industry has been a volatile place over the last 5 years and if you choose the wrong option it may come back to bite you in the rear. Future plans, life changing events, job security, financial dependants and disposable income all need to be taken into account before making the ultimate decision. There is more at stake here than saving a couple of quid. I expect the base rate too be at 3% come the end of the year, therefore fixing my own mortgage is out of the question, however, my own circumstances enable me to cope with the risks that a tracker mortgage brings, also I am qualified to give advice on mortgages which puts me in a prime position to be confident in my decision. The biggest losers this year will be the homeowners who decide to avoid mortgage advice from a professional
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Harry Goodliffe
Director at HTG Mortgages
Waiting could save you money, but it’s not a one-size-fits-all answer. With rate cuts on the horizon, some borrowers might benefit by holding off fixing, especially if they’re on a tracker or rolling off a deal soon. Lenders have already been reducing rates over the last few weeks in anticipation, and we expect that trend to continue, but likely in small, steady steps. Fixed rates might drop a little more, but we’re not expecting a dramatic plunge. If you value certainty or are on a tight budget, fixing now still makes sense. Timing the market perfectly is tough; it's about balancing risk with peace of mind.
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Justin Moy
Managing Director at EHF Mortgages
The choice of mortgage rate type should be down to clients needs rather than speculation on future pricing. What borrowers need to realise is that any base rate changes have little immediate effect on mortgage pricing, with at least 2 base rate cuts already priced into the current Swap market, and why you will see a near 1% difference between equivalent fixed and tracker pricing. The use of a tracker product, unless you have that speculative risk profile, is for the other features, typically no early repayment charges, so ideal for those needing a new product but looking to move in the next 12-18 months, or pay off significant lump sums. Fixed rate will continue to slide a little, but with those base rate cuts already priced into mortgages, don't expect to see a lot more this summer.
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Ranald Mitchell
Director at bad credit mortgage specialists Charwin Mortgages
Fixed mortgage rates have already begun to fall in anticipation of Bank of England cuts, and while further reductions are expected, many borrowers risk missing strong opportunities by holding out for something marginally better. The market tends to price in expected moves early, and we’re unlikely to see dramatic rate drops from here. Waiting can feel like the cautious choice, but during that time, property prices may rise, lender criteria may shift, and the overall benefit of a slightly lower rate can be easily eroded. Fixing now offers stability, and many lenders allow a switch if a better deal emerges before completion. In today’s environment, the risk isn’t fixing too soon, it’s waiting too long.
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Craig Fish
Director at Lodestone Mortgages
There is no one size fits all solution and we are starting to see more of an appetite for stability rather than chasing the lowest rates. For some however, flexibility is key and that tends to be only available on tracker products, so for those needing this a fixed rate isn’t suitable. Those that do want stability however do seem to be opting for shorter terms such as 2 years to see what happens with interest rates which are expected to settle around 3.5%.
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Pete Mugleston
Mortgage Advisor & Managing Director at onlinemortgageadvisor.co.uk
This is a question that's best answered by the borrower depending on their circumstances and how much risk they want to take. Is it likely the base rate will be reduced further this year? Yes, but as the market has been so volatile in recent years, locking in a good deal now isn't such a bad thing. While the predictions are that the rate will be lower by the end of the year, events, such as Trump's tariffs, have a way of shaking up the market. A tracker is a good alternative if borrowers want to take a punt on lower rates, but that comes with its own risks if rates creep back up.
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Aaron Strutt
Product and Communications Director at Trinity Financial
Rates clearly go up and down and for the moment they are still getting more competitively priced. If you can hold off taking a fix, then it may be worthwhile, but it is worth remembering we have seen cheap deals disappear quickly before, and the same could happen again. If you are going to hold off taking a fix to see if rates get cheaper you really need to keep an eye on the market and it is still advisable to have a mortgage offer in place. Taking the risk and holding off booking a deal to save 0.25% or 0.5% probably isn't worth it for many borrowers. Especially as the lenders give very little notice when they are going to pull their deals.
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Elliott Culley
Director at Switch Mortgage Finance
Whether to fix now or potentially look at a tracker product is an interesting question right now for borrowers. A tracker product has the benefit of the rate decreasing over time if the base rate continues to fall. However, generally speaking, the fixed rates on offer by lenders currently are far more competitive than current tracker rates. There is certainly more risk involved in a tracker product currently with the potential for a greater reward if rates do continue to fall. For a borrower, they need to consider whether they want to take this risk or secure a fixed rate where they know the payments are guaranteed and currently lower than a tracker product.
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Peter Dockar
Chief Commercial Officer at Gen H (Generation Home)
Today's base rate cut has already been factored into the latest round of lower fixed rate mortgage pricing – as have another 2 and bit in 2025 – with markets forecasting a long run or terminal base rate of ca. 4%. This makes any fixed rate that starts with a 3 or 4 likely to be a good long term bet. However, more interesting is why the markets have fixated on a terminal rate of 4%. If growth, or a lack thereof, is a bigger risk to the UK economy than inflation, then why 4%? 4 years ago, before rates increased, the terminal rate was 2.5%. What has fundamentally changed in UK prospects? Not much! Is it possible that the markets have been irrationally anchored to the current base rate? If so – it could be worth considering a shorter term fixed rate and seeing what happens at the end of this round of rate reductions next year. But that is a gamble only for the brave or financially secure. I'll always recommend people work with a broker and only take a mortgage they can afford.