Over the past year fixed mortgage rates have been largely driven by the rate of consumer price inflation (CPI), which peaked at 11.1 per cent in October 2022 and fell to 3.2 per cent in March.
Fixed rates are priced off future expectations of the Bank of England base rate, now 5.25 per cent.
Having peaked at nearly 7 per cent last August, average fixed mortgage rates fell sharply in the first month of this year amid a price war between lenders and expectations that better-than-expected CPI data released in December would lead to early Bank of England rate cuts this year.
Given the Bank rate was held at 5.25 per cent again this week, as it has been since August, that obviously has not