The Intermediary · https://theintermediary.co.uk/2026/06/imla-publishes-guide-to-help-advisers-explain-mortgage-rate-changes/
The Intermediary Mortgage Lenders Association (IMLA) published a report and a five-minute guide to help mortgage advisers explain why fixed-rate mortgage prices change and products disappear.
The report showed the impact of swap rates in early 2026, when conflict involving the US, Israel and Iran pushed 2-year swap rates from 3.6% in March to over 4.5% in May.
Tracker mortgage rates, which follow Bank Rate, were unaffected.
Rob Thomas, principal researcher at the IMLA, wrote the report, setting out how lenders fund fixed-rate products and why sudden movements in swap rates can force product withdrawals.
Kate Davies, executive director at the IMLA, said: “Swap rates have become part of the everyday language of the mortgage market, yet they remain poorly understood outside a relatively small group of specialists.
“When mortgage rates rise or products are suddenly withdrawn, borrowers want answers, and advisers need to be able to provide them confidently.
“The problem is that the real explanation – that fixed-rate mortgage pricing follows swap rates, not Bank Rate – is not well understood even by many professionals.”
Davies added: “Rob’s report provides a clear and authoritative account of how fixed-rate mortgages are funded and why swap rates play such a central role in their pricing.
“We recognise that not everyone wants to work through a detailed technical paper, which is why we have also produced a five-minute guide covering the essentials.
“Together, the two publications give advisers the material they need to have that conversation with confidence.”
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