Nikka Sulton

Santander has announced changes to its mortgage pricing, with several fixed-rate and tracker mortgage products set to increase from 29 July.

The lender confirmed that most fixed-rate mortgages within its new business range will see a rise, alongside selected tracker mortgage products. While the increases are relatively small, the changes come at a time when borrowers are closely watching mortgage rates amid ongoing uncertainty around interest rates and the wider UK economy.

The latest adjustments include a 0.05% increase across all 60% loan-to-value (LTV) two, five and seven-year fixed-rate mortgage products. Santander will also increase the rate on a 75% LTV three-year fixed mortgage with no product fee, which is available through its product transfer range.

Some residential fixed-rate mortgage products available to existing Santander customers looking to switch deals will also become more expensive following the update.

Which Santander Mortgage Products Are Changing?

The rate increases mainly affect fixed-rate mortgage deals, particularly those available to borrowers with lower loan-to-value ratios.

Customers with a 60% LTV mortgage, meaning they have a larger deposit or more equity in their property, will see a 0.05% increase across Santander’s two, five and seven-year fixed-rate options.

A selected 75% LTV three-year fixed-rate mortgage product with no fee will also increase as part of the changes.

However, Santander confirmed that not all mortgage products will be affected.

Tracker mortgage rates available through the lender’s remortgage and product transfer ranges will remain unchanged. The bank also confirmed that buy-to-let (BTL) mortgage rates within the product transfer range will not increase.

This means some borrowers and landlords currently reviewing their mortgage options may not see any immediate impact, depending on the type of product they are considering.

Why Are Mortgage Rates Changing?

Mortgage lenders regularly adjust their product pricing in response to changes in funding costs, market conditions and expectations around future interest rate movements.

Although the Bank of England base rate has started to move away from its previous highs, lenders continue to carefully manage their mortgage pricing due to uncertainty around inflation, economic growth and the future path of interest rates.

For borrowers, even a small increase in mortgage rates can have an impact over the length of a mortgage term. While a 0.05% rise may appear minor, homeowners taking out larger loans or refinancing after a period of lower rates could still see differences in their monthly repayments.

The latest changes also highlight how quickly mortgage deals can change. Rates that are available one day may no longer be offered the next, making timing an important factor for buyers, homeowners and landlords.

What This Means for Homeowners and Borrowers

For homeowners approaching the end of a fixed-rate mortgage period, the changes serve as another reminder to review mortgage options early.

Borrowers coming off previous fixed-rate deals may face higher repayments compared with the rates they secured several years ago. Comparing available products ahead of time could help them find a deal that better suits their financial circumstances.

Those planning to buy a property should also keep monitoring lender updates, as changes to mortgage rates can influence affordability calculations and the amount buyers are able to borrow.

For landlords, mortgage pricing remains an important factor when assessing buy-to-let profitability. While Santander’s latest changes do not affect its BTL product transfer rates, any wider increases across the mortgage market could impact future investment decisions and portfolio costs.

Deadline for Existing Santander Rates

Santander has confirmed that customers who want to secure the current mortgage rates must submit their applications or product transfer requests before the deadline.

Applications and product transfer requests using the existing product range must be completed by 10pm on 28 July. After this point, customers will need to apply using Santander’s updated mortgage rates.

The announcement means borrowers who are already considering a new mortgage deal may want to act quickly if they wish to avoid the upcoming increases.

Mortgage Market Continues to Shift

Santander’s latest pricing update reflects the ongoing movement within the UK mortgage market. Lenders continue to make regular adjustments as they respond to changing economic conditions and expectations around future Bank of England decisions.

While the increases announced by Santander are modest, they demonstrate that mortgage rates remain fluid rather than fixed. Homeowners, buyers and landlords will need to continue monitoring changes closely as they plan their next financial decisions.

With borrowing costs still playing a major role in the property market, mortgage rate movements will remain a key factor influencing affordability, buyer confidence and investment decisions throughout 2026.