Just Mortgages comment on the Bank of England's base rate decision

19 December 2024

Ben Allkins, head of mortgages and protection at Just Mortgages, said: “It’s safe to say today’s decision was widely expected and I think even the most avid supporter for rate cuts would say it’s probably the right call. The positive to take is that the path of interest rates in 2025 is still set to move downwards. Of course the central bank will have to carefully balance the uptick in inflation with an economy showing signs of stress. That’s without considering the potential of any external shocks too.

“Speaking with our brokers and the lenders we work with, the general consensus for 2025 is positive. There’s no doubt that clear challenges will absolutely remain, particularly around affordability. At least a hold on the base rate brings some stability which is always well received by the markets and by swap rates. This may give lenders some leeway to make movements as they look to build their pipeline heading into the new year.

“Brokers will continue to play a fundamental role in helping clients navigate a challenging and ever-changing market. As a result, they need to have a clear presence in their local market, educating clients and highlighting the opportunities that are still available.”