New Compare the Market data puts the cost of inaction in stark terms for UK mortgage brokers and their clients ahead of a wave of 2026 renewals
New data puts more than one million UK homeowners on notice. Those who fixed their mortgage in 2024 and do nothing when their deal expires face monthly repayments that are £283 higher.
Research sourced by Compare the Market, using FCA Freedom of Information data, identifies 1,095,905 homeowners coming off two-year fixed rate deals this year. Their average rate when they fixed was 4.81%, per Bank of England data.
Rolling onto a lender’s standard variable rate (SVR) changes things. Based on an average mortgage debt of £200,250 per household on a 25-year term, monthly payments climb from £1,149 to £1,432. That is a £283 monthly increase, or more than £3,000 extra per year.
Moneyfacts data shows the average SVR stood at 7.13% in July 2026. The average new two-year fixed rate in the same month was 4.79%, per Bank of England figures – a gap of more than 2%.
| Average SVR (July 2026) | Two-year fix (2024 average) | Two-year fix (July 2026) | |
|---|---|---|---|
| Average interest rate | 7.13% | 4.81% | 4.79% |
| Monthly repayments | £1,432 | £1,149 | £1,146 |
| Annual repayments | £17,184 | £13,788 | £13,752 |
| Annual saving vs SVR | — | £3,396 | £3,432 |
| Monthly saving vs SVR | — | £283 | £286 |
Based on an average mortgage debt of £200,250 per household on a 25-year term. Source: Compare the Market / Bank of England / Moneyfacts. Rate comparison only — does not account for individual circumstances or product fees.
What brokers should be telling clients now
Switching from the average SVR to a new two-year fix could cut monthly repayments by £286. Over a year, that amounts to £3,432 in savings – the clearest case brokers can make for proactive client contact and regular mortgage reviews ahead of renewal.
The 1,095,905 homeowners affected include 122,526 first-time buyers and 111,349 home movers. A further 690,738 previously remortgaged with their current provider, while 122,832 switched to a new lender in 2024.
Laura Pomfret, personal finance expert at Compare the Market, said the cost of inaction is hard to justify.
“An extra £283 a month on your mortgage is a significant amount of money for most households,” she said. “That’s more than £3,000 over the course of a year, so simply rolling onto a higher rate without considering your options could have a real impact on your budget. A mortgage is likely to be the biggest outgoing in any household, so it’s worth paying attention to and looking for great savings for your budget.”
Pomfret said the end of a fixed term is a natural prompt for clients to review their broader finances.
“When a fixed mortgage deal is coming to an end, it’s a good opportunity to look at your finances as a whole. Understanding what your new repayments could be ahead of time means you can plan for any increase and consider where you might need to adjust your budget.”
Sajni Shah, money expert at Compare the Market, pointed to the scale of the cohort facing this decision.
“More than one million homeowners are coming to the end of two-year fixed rates this year, and many could face a significant increase in their monthly repayments if they simply roll onto their lender’s standard variable rate.”
Shah added that borrowers retain more power than they may realise. “Shopping around to compare mortgages from different lenders is one of the simplest ways to see what’s available and find a deal suited to your individual circumstances. Even if you ultimately decide to stay with your existing lender, comparing first could give you greater confidence that you’re getting the right mortgage for you.”
Start the remortgage conversation early
As reported on the 2026 remortgage wave and the role of timing, proactive broker communication matters as much as rate selection. And what is moving the needle for UK brokers this year includes reaching clients before lenders do.
Remortgaging requires time: credit checks, product research, and application processing all take weeks. The paperwork and admin burden that mortgage borrowers report as a top concern makes the case for starting early even stronger. A client who has already rolled onto an SVR is harder to help than one contacted three to four months before expiry.
The full-cost picture also extends beyond the headline rate. Product fees, early repayment charges, and individual affordability all shape the final outcome. Brokers are positioned to model those variables in a way comparison tools cannot.
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