Latest analysis from moneysupermarket.com suggests that Standard Variable Rate (SVR) mortgage deals are now charging on average 4.7% in interest a reduction of just 0.98% in 12 months compared to a 2.5% fall in Base Rate over the same period.
Moneysupermarket.com is warning the growing band of borrowers sitting on SVR deals, that they might not be reaping the full benefit of the record low Base Rate, as banks profit from increased margins.
Hannah-Mercedes Skenfield, mortgages channel manager at moneysupermarket.com, said: “Unfortunately it should come as no surprise to anyone that we have seen a steady increase in SVRs since the Bank of England Base Rate was cut earlier this year.