Borrowers could take a chance on a variable to avoid shock

Adam French, Head of Consumer Finance 01603 476154 Email Adam

One in four remortgage borrowers could take a chance on a variable rate to avoid payment shock

Around one in four remortgage borrowers were considering variable and tracker mortgages in October, new Moneyfactscompare.co.uk analysis has found.

Demand for variable and tracker mortgages has shifted as rates have risen following the US-led war with Iran.

Remortgage borrowers researching variable and tracker mortgages are now up 71%. In October, 24% of remortgage borrowers researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 14% in February.
Homemovers researching variable and tracker mortgages are now up 25%. In October, 10% of homemovers researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 8% in February.
First-time buyers researching variable and tracker mortgages remains unchanged. In October, 10% of first-time buyers (FTBs) researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 10% in February.

Share of mortgage borrowers researching variable & tracker rate mortgages vs fixed on moneyfactscompare.co.uk

One in four remortgage borrowers could take a chance on a variable rate to avoid payment shock

Around one in four remortgage borrowers were considering variable and tracker mortgages in October, new Moneyfactscompare.co.uk analysis has found.

Demand for variable and tracker mortgages has shifted as rates have risen following the US-led war with Iran.

Remortgage borrowers researching variable and tracker mortgages are now up 71%. In October, 24% of remortgage borrowers researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 14% in February.
Homemovers researching variable and tracker mortgages are now up 25%. In October, 10% of homemovers researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 8% in February.
First-time buyers researching variable and tracker mortgages remains unchanged. In October, 10% of first-time buyers (FTBs) researching mortgages on Moneyfactscompare.co.uk were considering variable or tracker mortgages, compared with 10% in February.

Share of mortgage borrowers researching variable & tracker rate mortgages vs fixed on moneyfactscompare.co.uk

Month	First-time buyers	Homemovers	Remortgage	All borrowers
February 2026	8%	8%	14%	11%
October 2026	10%	10%	24%	17%
Monthly share of users of moneyfactscompare.co.uk comparing mortgage products by borrower type. Users can compare multiple product types and terms per session. Source: Moneyfactscompare.co.uk

Month	First-time buyers	Homemovers	Remortgage	All borrowers
February 2026	8%	8%	14%	11%
October 2026	10%	10%	24%	17%
Monthly share of users of moneyfactscompare.co.uk comparing mortgage products by borrower type. Users can compare multiple product types and terms per session. Source: Moneyfactscompare.co.uk

Adam French, Head of Consumer Finance at Moneyfactscompare.co.uk, said:

“Higher rates are changing borrower behaviour. Around one in four remortgage borrowers researching mortgages on Moneyfactscompare.co.uk considered a variable or tracker deal in October. That is up from 14% before the war in Iran began.

“The figures suggest more borrowers are willing to gamble on interest rates to keep their initial mortgage costs down. But choosing a variable rate is a bet on where interest rates go next and today's saving could quickly disappear.

“The Bank of England is widely expected to begin raising the Base Rate on 5 November, that and any further increase will start to push up tracker repayments. The average new two-year tracker rate has already risen from 4.54% to 4.68% in October alone. Discounted variable deals also carry risks as lenders can change the standard variable rates these deals are typically linked to.

“Tracker borrowers could still come out ahead, but it depends on markets overestimating how far or how fast the Base Rate will rise. But they must be comfortable with the opposite risk that rates could rise further and stay higher for longer than expected.

“Ultimately, anyone considering a tracker or discounted variable deal should test whether they could afford higher repayments.”

Adam French, Head of Consumer Finance at Moneyfactscompare.co.uk, said:

“Ultimately, anyone considering a tracker or discounted variable deal should test whether they could afford higher repayments.”

Notes to editors

You are welcome to use part or all of this press release, so long as we are sufficiently sourced. We would appreciate a link back to Moneyfactscompare.co.uk.

Pioneering financial comparison technology for over 38 years, Moneyfacts Group plc is the UK’s leading provider of retail financial product data. Used by virtually every bank and building society in the UK, and supplied to the Bank of England, Financial Conduct Authority, Financial Ombudsman Service, HM Treasury, Prudential Regulatory Authority and UK Finance.

Our expert research team monitors the thousands of mortgages, savings, credit card, personal loan, banking, life, pension and investment products in the UK.

Moneyfactscompare.co.uk is the financial product price comparison site, launched as Moneyfacts.co.uk in 2000 and rebranded to Moneyfactscompare.co.uk in 2023, which helps consumers compare thousands of financial products, including credit cards, savings, mortgages and many more. Unlike other comparison sites, Moneyfactscompare.co.uk shows whole of market data regardless of commercial bias, showing consumers a true picture of the best products based on the criteria they select.

For more information about us please see our key facts.

Broadcast

Our broadcast suite enables our finance experts to appear in-vision for television, and we regularly comment live on national and regional radio.

To arrange an interview for radio or television, please contact our press department. We have an in-house broadcast room.

Notes to editors

You are welcome to use part or all of this press release, so long as we are sufficiently sourced. We would appreciate a link back to Moneyfactscompare.co.uk.

Our expert research team monitors the thousands of mortgages, savings, credit card, personal loan, banking, life, pension and investment products in the UK.

For more information about us please see our key facts.

Broadcast

Our broadcast suite enables our finance experts to appear in-vision for television, and we regularly comment live on national and regional radio.

To arrange an interview for radio or television, please contact our press department. We have an in-house broadcast room.

If you're looking for extra comment, a chart or more information, then please give us a call. We are always more than happy to help.

Adam French Head of Consumer Finance

01603 476154

Email Adam

Rachel Springall Finance Expert

01603 476210

Email Rachel

Caitlyn Eastell Personal Finance Analyst

01603 476169

Email Caitlyn

Borrowers could take a chance on a variable to avoid shock

Borrowers could take a chance on a variable to avoid shock

One in four remortgage borrowers could take a chance on a variable rate to avoid payment shock

One in four remortgage borrowers could take a chance on a variable rate to avoid payment shock

Ask us a question!