Standard Variable Rates | Mortgage

If you’re on your lender's Standard Variable Rate (SVR) mortgage you could be paying £100s more every month than you need to. We explain how SVR mortgages work, the current SVR rates what to do if you’re on one.

standard variable rate mortgage

KEY INFORMATION

Standard variable rate mortgages: At a glance

  • A standard variable rate mortgage is a variable rate mortgage you’ll usually be moved to when your fixed rate, tracker or discounted mortgage deal ends.
  • Lenders decide how much interest to charge on standard variable rate mortgages and these mortgages can be very expensive.
  • You can avoid moving onto the SVR by remortgaging. But you should start the process up to 6 months before your current deal ends.
  • If you’re currently on your lender’s SVR you may be able to save £1,000s a year by remortgaging onto a new deal.

What is a standard variable rate mortgage?

A standard variable rate (SVR) mortgage is a type of variable rate mortgage you’ll usually be moved onto when your fixed-term mortgage deal ends.

  • For example, if you take out a 2 year fixed rate mortgage, you’ll usually be moved onto your lender’s standard variable rate at the end of the 2 year term unless you remortgage onto a new deal.

The standard variable rate (which is the rate you’ll pay on an SVR mortgage) is set by the lender and can change at any time. This means you’re at the whim of your mortgage lender, many of whom seem to view SVR rates as a license to print money – at your expense.

Standard variable rate mortgages can be extremely expensive. If you’re already on your lender’s SVR you might be able to save £100s a month by remortgaging. Jump to worked examples.

And if your current mortgage deal is ends in the next 6 months, start shopping around now to see if you can remortgage and save money.

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Current SVR mortgage rates

Here are the SVR mortgage rates currently charged by lenders in the UK, and whether they last went up or down. As you can see they’re much higher than the best mortgages rates available today:

Lender Previous SVR % % Change New SVR %
Accord 7.49 -0.25 7.24
Aldermore 9.03 -0.20 8.83
BM Solutions 8.84 -0.25 8.59
Bank of Ireland 7.64 -0.20 7.44
Barclays 7.74 - -
Bath BS 7.79 -0.20 7.59
Beverley 7.84 -0.15 7.69
Buckinghamshire 8.59 -0.20 8.39
Cambridge 7.79 -0.10 7.69
Chelsea 7.49 -0.25 7.24
Chorley BS 8.39 -0.10 8.29
Co-op 7.37 -0.25 7.12
Coventry 7.09 -0.15 6.94
Cumberland 7.64 -0.20 7.44
Darlington 7.84 - -
Digital Mortgages 6.99 - -
Dudley 8.34 -0.15 8.19
Earl Shilton 7.84 -0.20 7.64
Ecology BS 6.29 -0.25 6.04
Family BS 7.94 - -
First Direct 6.74 - -
Furness 8.24 - -
HSBC 6.74 - -
Halifax 7.99 -0.25 7.74
Handlesbanken 7.49 -0.25 7.24
Hanley Economic 8.24 -0.25 7.99
Harpenden 7.79 -0.15 7.64
Hinckley & Rugby 7.29 -0.25 7.04
Hodge Lifetime 8.10 -0.25 7.85
Leeds 7.99 -0.25 7.74
Leek United 7.84 -0.25 7.59
Loughborough BS 7.89 - -
Mansfield 8.49 -0.20 8.29
Market Harborough 7.79 - -
Marsden 8.69 -0.15 8.54
Melton Mowbray 8.44 - -
Metro Bank 8.00 -0.26 7.74
Monmouthshire 8.14 -0.15 7.99
NatWest 7.49 -0.25 7.24
Nationwide 7.24 -0.25 6.99
Newbury 6.40 -0.10 6.30
Newcastle 6.75 -0.25 6.50
Nottingham 8.10 -0.15 7.95
Paragon 8.85 - -
Penrith 7.74 -0.25 7.49
Platform 7.37 - -
Post Office 8.04 - -
Principality 7.09 -0.17 6.92
Saffron BS 8.29 - -
Santander 6.75 - -
Scottish BS 7.99 - -
Scottish Widows 7.99 -0.25 7.74
Skipton 6.54 - -
Stafford Railway 5.95 -0.20 5.75
Suffolk BS 8.14 -0.25 7.89
TSB 7.99 -0.25 7.74
Teachers BS 8.44 - -
The Mortgage Works 8.49 -0.25 8.24
Tipton & Coseley 8.14 - -
Vernon BS 7.85 -0.15 7.70
Virgin Money 7.49 -0.25 7.24
West Brom BS 6.49 - -
Yorkshire BS 7.49 -0.25 7.24

How do SVR mortgages compare to tracker and fixed rate options?

Mortgage lenders set their own standard variable rates. These can be influenced by changes to the Bank of England base rate but unlike tracker mortgages, standard variable rates don’t track above the base rate at a fixed amount.

Plus, other factors like the cost of borrowing can influence what a lender sets its SVR mortgage rates at. And a lender can increase or decrease its SVR whenever it chooses to.

For example, if the Bank of England reduces interest rates by 0.5%, the lender may:

  • Reduce their SVR by 0.5%
  • Reduce their SVR by less than 0.5%
  • Make no change to the SVR.

How much will I pay on the SVR?

The size of your mortgage payments will depend on the size of your loan, the length of the term and your lender’s SVR:

Standard Variable Rate cost vs remortgaging examples

Here’s an example to illustrate how much more you’ll pay on a standard variable rate mortgage, compared to if you remortgage.

These examples are based on taking out a mortgage over 30 years, based on an SVR of 7.5% compared to if you remortgage on a rate of 4%. These examples doesn’t include any mortgage fees.

Example 1: £200,000 mortgage

Mortgage payment at 4%Mortgage payment at 7.5%£ Difference per month
£955£1,398£443

Example 2: £300,000 mortgage

Mortgage payment at 4%Mortgage payment at 7.5%£ Differenceper month
£1,432£2,098£666

SVR rate ceilings explained

  • Some lenders have a ‘ceiling’ on their SVR mortgage rates which limits how much they’ll charge on their SVR. For example, the lender may state their SVR mortgage rates won’t rise above a certain percentage above the base rate.

What are SVR rate collars?

  • This is a percentage your interest rate can’t fall below. Each lender sets different rules, which is a key reason to speak to a mortgage broker for expert advice as they’ll explain your options.

Do higher payments on SVR mean I’ll pay off my mortgage faster?

  • No. If your payments increase because you move onto your lender’s SVR, the extra money you pay each month will go towards paying the higher interest rate charged by your lender, not towards the capital.
  • So you won’t be paying off your mortgage more quickly.

How long do standard variable rate mortgage deals last?

  • SVR mortgages in the UK are usually flexible and don’t come with the same restrictions you’ll typically face with fixed term mortgages.
  • For example, if you take out a 5 year fixed rate mortgage deal you’ll typically have to pay an Early repayment charges if you want to ditch it and switch to a different mortgage. This isn’t usually the case with SVR mortgages, although always check.

What happens after a fixed rate mortgage ends?

  • When your fixed rate mortgage ends, you’ll usually be moved onto your lender’s standard variable rate unless you remortgage to a new deal.

Do I need to stay on the standard variable rate?

  • No, you don’t need to stay on your lender’s standard variable rate. You can start looking for a new mortgage deal up to 6 months before your current mortgage deal ends.
Remortgage Finder

Get fee-free remortgage advice from our partners at L&C. Use the online remortgage finder or speak to an advisor today.

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How can I find out what my mortgage’s standard variable rate is?

Here are the steps to take to find out what your lender’s standard variable rate is:

  1. Check the paperwork sent to you from your mortgage lender, or
  2. Contact your lender to ask them what the current SVR is, or
  3. Use this online mortgage finder service powered by L&C. Just click the “start online” button and enter details of your current mortgage to find your lender’s SVR and see the best deals available to you today.

Find out how much you can save by remortgaging. Speak to fee-free mortgage brokers at L&C or use the online mortgage finder service today.

Should I switch from an SVR to a fixed or tracker mortgage?

SVR mortgage rates can be painfully high and generally speaking you should not stay on your lender’s SVR unless you’ve explored all your other options first.

So speak to a fee-free mortgage broker. They’ll explain your options and tell you how much you could save by remortgaging.

Standard Variable Rate mortgages: Our view

Paula Higgins, CEO of HomeOwners Alliance, said:

Paula Higgins CEO HomeOwners Alliance

“The staggering SVRs we are seeing from some lenders at the moment is nothing short of daylight robbery. So we’re calling on all homeowners to check the rate they’re on. If it’s the SVR, they need to look at their options asap.

If your current mortgage term comes to an end in the next six months, start looking now to secure a rate and avoid defaulting onto the lender’s SVR.”

Paula also warns that standard variable rates are ‘completely inconsistent between lenders, making it harder for consumers to track’. 

Use L&C’s online mortgage finder to check your lender’s SVR, the lowest mortgage rates from across the market, which deals you could be eligible for and how much you could borrow too.

Remortgage Finder

Get fee-free remortgage advice from our partners at L&C. Use the online remortgage finder or speak to an advisor today.

Find a mortgage

When might a standard variable-rate mortgage be right for me?

Some people may decide a standard variable rate mortgage is right for them.

  • For example, if you have a small mortgage balance it may be cheaper overall for you to stay on your lender’s standard variable rate than remortgaging onto a new deal.

But don’t assume what the best option will be. Always get expert advice.

Explore all your remortgage options. Speak to our fee-free mortgage partners at L&C or use the online mortgage finder service today.

Pros and cons of a standard variable mortgage

So what are the advantages of a standard variable mortgage?

Advantages of standard variable rate mortgage

Avoid arrangement fees

  • When you remortgage, you’ll often have to pay mortgage arrangement fees to get the cheapest mortgage deals. These can be £999 or even more.
  • While when you switch onto the standard variable rate, you won’t need to pay any fees.
  • But don’t assume this means you’ll save money by sticking to the standard variable rate. This is because taking out a remortgage deal with a fee might be cheaper in the long-run. Plus, you can get remortgage deals that don’t come with fees.
  • So get a mortgage broker to crunch the numbers for you so you can find the best mortgage deal overall.

Fee-free overpayments

  • Some people stick with a standard variable rate mortgage because they want to make overpayments or even clear their mortgage without the risk of having to pay an early repayment charge.
  • But don’t assume a standard variable rate mortgage is the only way to do this. A mortgage broker can look for deals that will let you make large overpayments or pay your mortgage off early without facing an early repayment charge.
  • It may be a standard variable rate mortgage is the best option – but at least if you go through the process you’ll know that for sure.

Repayments can go down

  • Standard variable rates can go down as well as up. However, unlike with tracker mortgages, where the rate you’ll pay goes down automatically (and by the same amount) when the Bank of England cuts interest rates, this isn’t the case with standard variable rates.
  • So if the Bank of England cuts interest rates by 0.25%, the lender may pass on all of the cut, or choose to pass on 0.20%, 0.15% instead. They may delay passing on the cut – or not pass it on at all.

Disadvantages of a standard variable rate mortgage

  • The main disadvantage with standard variable rate mortgages is they tend to be the most expensive type of mortgage. This means you could end up paying £1,000s each year more than you need to compared to if you remortgage.
  • Also, your monthly repayments could increase at any time as your lender sets its own SVR. So if the base rate increases, your repayments may increase too. But your lender can increase (or decrease) its SVR whenever it chooses to so you could face a sudden increase in your mortgage payments.
Remortgage Finder

Get fee-free remortgage advice from our partners at L&C. Use the online remortgage finder or speak to an advisor today.

Find a mortgage

What are the alternative mortgage types?

There are lots of different types of mortgages available. These include:

Find out more information in our guide on Understanding mortgage types and what one you need to get.

SVR vs tracker mortgages

Here’s how SVR mortgages compare to tracker mortgages:

SVRTracker mortgage
The rate you’ll pay is set by the lender.The rate you’ll pay is fixed at a set level above the Bank of England base rate
Lenders can change the rate at any time.The rate you’ll pay will change of the Bank of England increases or decreases interest rates.
The lender may not pass on all, or any, of an interest rates cut.If the Bank of England cuts interest rates by 0.25%, the rate you’ll pay on your mortgage will reduce by the same amount.
You won’t usually need to pay an Early repayment charge if you switch to a new deal.You may need to pay an early repayment charge if you switch to a new deal during your initial term. But not always. Check your paperwork.

Can I take out a standard variable rate mortgage?

No, you don’t take out a standard variable rate mortgage. You’ll usually be switched onto an SVR mortgage when your fixed term deal ends, unless you remortgage

How a broker can help you find the best mortgage rate

If you’re weighing up staying on the SVR or remortgaging onto a new fixed, tracker or discounted variable rate mortgage, the easiest way to find the best deal for you is by speaking to a fee-free mortgage brokers.

They’ll compare the best mortgage rates and terms to find the best mortgage for you.

SVR mortgage calculator

The quickest way to compare how much you’re paying on the standard variable rate compared to what you’d pay if you remortgage is to use L&C’s online mortgage finder Rate Check service.

You can also use our mortgage cost calculator to work out the monthly and total cost of your mortgage. Plus, you can compare the cost of two mortgages – for example, the SVR vs a remortgage.

Remortgage Finder

Get fee-free remortgage advice from our partners at L&C. Use the online remortgage finder or speak to an advisor today.

Find a mortgage

Frequently Asked Questions

What happens when my fixed rate mortgage ends?

When your fixed rate mortgage ends you’ll usually be moved onto your lender’s standard variable rate. The rate you’ll pay could rocket, leaving you with bigger monthly payments.
To avoid this, remortgage to a new deal. Start the remortgage process 6 months before your current deal ends, then keep the rate under review in case you find a better deal.

What is the best standard variable mortgage rate?

The easiest way to find the best standard variable mortgage rate is to check our current SVR mortgage rates table.
But don’t just look at the best standard variable rates – make sure you look at the best mortgage rates available too.

Should I go onto standard variable rate mortgage?

Standard variable rate mortgages can be extremely expensive so you shouldn’t go onto a standard variable rate mortgage before exploring your options first. You should check the best mortgage rates available if you remortgage. Speaking to a broker is the easiest and quickest way to do this.

What is the standard variable mortgage rate now?

There isn’t a set standard variable mortgage rate, each lender will set its own rates. However, in summer 2025, the average standard variable rate in the UK was 7.60%. This is significantly higher than the best mortgage rates available.

What is an SVR mortgage?

An SVR mortgage is a type of variable rate mortgage you’re moved onto when your fixed-term mortgage deal ends. So if you take out a 5 year fixed rate mortgage, you’ll move to your lender’s standard variable rate at the end of the 5 year term unless you remortgage onto a new deal.
However, the lender sets the standard variable rate you’ll pay and can change the SVR at any time. And SVR mortgages can be very expensive.

Why is my SVR higher than the base rate?

Each lender sets its own SVR and this can be much higher than the Bank of England base rate.

Can I avoid being moved to an SVR?

Yes, you can avoid being moved to an SVR by remortgaging to a new deal. Start the process 6 months before your current deal ends to make sure you have enough time for the switch. Then keep the rate under review, in case a better deal comes up before you need to complete.

How often do lenders change SVRs?

Lenders can change their SVR at any time but they usually change their SVRs after the Bank of England cuts or increases interest rates. But they won’t necessarily make changes when this happens.

What is a good SVR rate in 2025?

A good SVR rate in 2025 is 6%-6.5%. But you may be able to get a much lower mortgage rate than this by remortgaging.

What is a variable rate mortgage?

Variable rate mortgage refers to a range of mortgages where the rate you pay can go up or down. These mortgages include tracker mortgages, discounted variable rate mortgages and standard variable rate mortgages.
Variable rate mortgages are different to fixed rate mortgages where the rate you’ll pay is fixed for a set period of time.

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