Further to the base rate increase announced by the Bank of England on 2nd November, Newcastle Building Society has committed that it will pass on in full the 0.25% interest rate rise to all of its individual variable rate savings customers1.
The North East’s biggest building society made the commitment to support both existing savers and potential new savers by acting quickly to reassure them that if a 0.25% rise in interest is confirmed this week, it will quickly be passed through to them in full.
Customer director, Stuart Miller said: “It’s been a long road for savers who have been on the end of repeated rate cuts and continuing low rates dictated by the bank base rate. This is the first rate rise in 10 years and we are very pleased to be able to pass it on promptly, and in full to all of our retail variable rate savings customers.”
The Society has also announced that its mortgage Standard Variable Rate (SVR) will not change, meaning the rate rise will only affect borrowers on base rate linked products.
The majority of residential mortgages held by its customers are fixed, which will remain unchanged and operate as set out in their product terms.