“That hardly suggests the Bank thinks its work is done.”

05 November 2026

Martin Sims, Distribution Director at Molo Finance, commented:

“I doubt there’ll be many landlords celebrating another interest rate increase, although I suspect most will have become fairly accustomed to the Bank of England giving them something else to think about. The question now is whether the Monetary Policy Committee (MPC) believes this is enough for the time being or whether we’re going to see further increases over the coming months. The 8–1 vote tells us the committee was pretty united on the need to raise rates, with the one dissenting member actually pushing for a larger increase. That hardly suggests the Bank thinks its work is done, particularly with inflation expected to rise further next year.”

“I wouldn’t be surprised if some landlords see today’s decision and immediately assume their next mortgage is going to cost them more. But here’s the slightly strange thing about interest rates: the Bank of England putting rates up doesn’t automatically mean every fixed-rate mortgage is about to become more expensive. Mortgage lenders aren’t sitting around waiting for the Bank to tell them what to charge, and wholesale funding markets have already been responding to concerns about inflation and the prospect of further increases. I think brokers need to be careful about assuming today’s decision tells us everything we need to know about where mortgage rates are heading.”

“I really don’t think another 25 basis points is going to have experienced investors throwing their hands in the air and deciding property is no longer worth the trouble. There will still be deals worth doing, and the landlords who understand their numbers will be working with their brokers to find them.”