Should I Remortgage When My Fixed Rate Ends?

Around 1.8 million fixed rate mortgage deals end during 2026. Do nothing when yours ends and you roll onto your lender's standard variable rate, averaging just over 7% in July 2026 against roughly 5.5% for a new fixed deal. On a £200,000 mortgage, that gap costs about £190 a month.

Last updated: 10 July 2026

The cost of doing nothing

When a fixed rate deal ends with no new deal in place, your lender moves you onto its standard variable rate (SVR), the default rate it sets itself. In July 2026 the average SVR is just over 7%, and some lenders charge more than 8%. A new five year fixed deal averages around 5.5%. Your balance and term carry on exactly as before. Only the rate changes, and with it your monthly payment.

That gap is the whole argument for acting. The table below shows the monthly difference at a range of balances, each with 20 years left to run.

Outstanding balance	SVR at 7.13%	New fix at 5.5%	Monthly difference
£100,000	£783	£688	£95
£150,000	£1,175	£1,032	£143
£200,000	£1,566	£1,376	£190
£300,000	£2,349	£2,064	£285

Repayment mortgage, 20 years remaining. SVR is the July 2026 average of 7.13%; the new fix uses the average five year fixed rate of 5.5%. Use the calculator for your exact figures.

On the £200,000 example that is around £2,280 a year for staying put. The Bank of England base rate has been held at 3.75% since June 2026, and SVRs sit far above it because lenders price them for borrowers who do not switch. Nobody chooses the SVR for value. It exists as the default, and around 1.8 million households will hit that default point during 2026 as their fixed deals end.

Try the calculator

Remortgage Calculator

Enter your balance, current rate and a new rate. See your new monthly payment, the monthly saving, and how long it takes to break even on any fees.

Open calculator

Three routes off the SVR

When your deal ends you have three realistic options, and the right one depends on how competitive your current lender is and how stable your circumstances are.

1. Product transfer with your current lender

A product transfer (sometimes called a rate switch) moves you onto a new deal without changing lender. There are no legal fees, no valuation, and usually no full affordability check for a like-for-like switch. It can complete in days. The trade-off: you only see one lender's rates. UK Finance expects product transfers to reach £261 billion in 2026, which says more about convenience than about value.

2. Remortgage to a new lender

A full remortgage means a new application, an affordability assessment, and conveyancing, though many remortgage deals include free legal work and a free valuation. In exchange you can take the best rate on the whole market. If your property has risen in value or you have paid down the balance since your last deal, your loan-to-value (the balance as a percentage of the property's value) may have dropped into a cheaper band, and a new lender will price on that.

3. Stay on the SVR deliberately

The SVR has one genuine advantage: no early repayment charge and no tie-in. If you are selling within a few months, or you expect to repay a large lump sum soon, paying the higher rate for a short spell can cost less than committing to a fix and paying a penalty to leave it. As a deliberate short-term position it can make sense. As a default it is the most expensive option on this page.

The six month window

Start looking three to six months before your deal ends. Most lenders let you secure a new rate up to six months in advance, and the new deal starts the day the old one finishes, so you never touch the SVR. Locking in early also protects you if rates rise, and it rarely traps you if they fall: most lenders will let you swap to a cheaper deal any time before completion.

Leaving a deal early: the break-even test

Breaking a fixed deal before it ends usually triggers an early repayment charge (ERC), typically 1% to 5% of the outstanding balance, stepping down each year of the deal. The test is one division: total switching cost divided by monthly saving equals break-even in months.

Say you owe £200,000 with a 1% ERC (£2,000) and the new deal carries a £999 arrangement fee, so £2,999 all in. If the new rate saves you £160 a month, you break even in about 19 months. If your current deal ends sooner than that, waiting wins. The Remortgage Calculator runs this break-even for your own balance, rates and fees.

The Scotland angle

Mortgage rates and products are UK-wide, so a borrower in Glasgow sees the same deals as one in Manchester. Two process points differ. Conveyancing on a remortgage must be done by a solicitor qualified in Scots law, which matters only if your new lender's free legals panel does not cover Scotland (most do, but check before you apply). And there is no LBTT to pay: Land and Buildings Transaction Tax applies when you buy a property, not when you change lender on one you already own. The same is true of Stamp Duty in England.

When remortgaging is the wrong move

Switching lender is not always the answer, even with the SVR looming. Four situations change the calculation.

Your balance is small

Below roughly £50,000, fees eat most of the saving from a slightly better rate, and some lenders will not accept remortgages under £25,000. A fee-free product transfer usually beats a full remortgage here, and if the balance is very small, clearing it faster may beat both.

You are moving house soon

A new fix comes with a new ERC, and selling mid-deal can mean paying it (unless you port the mortgage to the next property, which needs the lender's approval and a fresh affordability check). If a sale is months away, a short spell on the SVR or a tracker with no ERC often costs less overall.

You are mid-deal with a big ERC

Early in a five year fix the ERC can be 4% or 5% of the balance: £8,000 to £10,000 on a £200,000 mortgage. A monthly saving almost never recovers that before the deal would have ended anyway. Run the break-even test, and if it fails, diarise a date six months before the deal ends instead.

Your finances have changed for the worse

A new lender underwrites you from scratch. Lower income, new debts, or a switch to self-employment since your last application can shrink your options or sink them. A like-for-like product transfer needs no new affordability assessment, so it is the dependable route when a full application looks risky.

Compare total cost, not the headline rate

The lowest advertised rate often carries a £999 to £1,999 arrangement fee, and on smaller balances a fee-free deal at a slightly higher rate works out cheaper. Compare the full cost over the deal period: monthly payment times the number of months, plus every fee. That is the only number that matters, and it is the comparison the Remortgage Calculator is built for.

If you can spare extra cash in the months before your deal ends, overpaying within your annual allowance (usually 10% of the balance per year) lowers the balance you refinance and can drop you into a cheaper loan-to-value band. Whether that beats investing the same money is its own question, covered in Should I Overpay My Mortgage or Invest?

Frequently asked questions

What happens when my fixed rate mortgage ends?

You move automatically onto your lender's standard variable rate (SVR) unless a new deal is in place. The SVR is a rate the lender sets itself, and it averaged just over 7% in July 2026 against around 5.5% for a new fixed deal. Your balance and remaining term carry on unchanged, but the rate, and therefore your monthly payment, goes up.

How long before my deal ends should I start looking?

Three to six months. Most lenders let you lock in a new deal up to six months ahead, and if rates fall between locking in and the new deal starting, most will let you switch to the cheaper option. Starting early costs nothing and removes the risk of spending any months on the SVR.

Is a product transfer better than remortgaging to a new lender?

It depends on whether your current lender is competitive. A product transfer is faster, has no legal or valuation costs, and usually skips a full affordability check. Remortgaging to a new lender means a full application but opens up the whole market. Get a product transfer quote from your lender first, then compare it against the best rates elsewhere before deciding.

Can I remortgage before my fixed deal ends?

Yes, but leaving a fixed deal early usually triggers an early repayment charge of 1% to 5% of the outstanding balance. Add up the total cost of switching, divide it by the monthly saving, and you get your break-even point in months. If your current deal ends before that point, waiting is cheaper.

Is remortgaging different in Scotland?

The rates and products are the same across the UK. Switching lender needs a solicitor in Scotland as elsewhere, and many remortgage deals include free legal work. There is no LBTT (Land and Buildings Transaction Tax, Scotland's version of Stamp Duty) on a remortgage: it applies when you buy a property, not when you switch lender on one you already own.

Will I pass the affordability check if my circumstances have changed?

A new lender assesses your income and outgoings in full, so a drop in income or new commitments since your last application can limit your options. A like-for-like product transfer with your current lender normally needs no new affordability assessment, which makes it the reliable fallback if a full remortgage looks difficult.