Your Fixed Rate Is Ending. Here Is What That Means.
An estimated 1.8 million fixed rate mortgage deals are set to expire in 2026. If yours is one of them, you need to understand what happens next and why acting early puts you in a significantly stronger position.
When your fixed rate period ends, your lender does not simply give you a new deal. Instead, your mortgage automatically moves onto the lender’s standard variable rate, known as the SVR. And for most borrowers, that means a sharp increase in monthly payments.
What Is the Standard Variable Rate?
Every mortgage lender sets their own SVR. It is the default rate your mortgage reverts to once a fixed, tracker, or discount deal expires. Unlike your fixed rate, the SVR can change at any time, at the lender’s discretion.
As of early 2026, most SVRs sit between 7% and 8.5%. Compare that to the fixed rates available on the open market, which are significantly lower, and you start to see the problem. Staying on your lender’s SVR is almost always more expensive than securing a new deal.
For a typical borrower with a £200,000 mortgage, the difference between a competitive fixed rate and a lender’s SVR could mean an extra £200 to £400 per month. Over a year, that adds up quickly.
Why Do So Many People End Up on the SVR?
The most common reason is simply not acting in time. Life gets in the way. People assume their lender will contact them with a new offer. Some do not realise their deal is ending until the higher payments hit their account.
Others assume they cannot switch because their circumstances have changed. Perhaps they moved to self-employment, took on additional debt, or their property value shifted. These are valid concerns, but they rarely mean you have no options. A remortgage or product transfer could still save you thousands.
When Should You Start Looking?
Six months before your fixed rate ends. That is the window most lenders allow you to secure a new rate in advance.
This is important because mortgage offers typically last between 3 and 6 months. By starting early, you can lock in a rate now and complete the switch the moment your current deal expires. If rates drop further before completion, many brokers can switch you to the better deal at no cost.
Waiting until the last minute limits your options and increases the risk of spending time on the SVR while a new application is processed.
Product Transfer vs Remortgage
When your fixed rate ends, you have two main options: a product transfer or a remortgage.
Product transfer
This means staying with your current lender and switching to one of their new deals. The process is usually simpler. There is often no valuation, no solicitor, and minimal paperwork. It can be completed in days rather than weeks.
The downside is that you are limited to what your current lender offers. Their rates may not be the most competitive on the market. You also cannot borrow additional funds or change your mortgage term through a product transfer with most lenders.
Remortgage
This means moving your mortgage to a different lender entirely. It takes longer and involves a full application, valuation, and legal work. But it opens up the entire market, which often means better rates, more flexibility, and the option to borrow more if needed.
If you are self-employed and looking to remortgage, the process may require additional documentation, but there are plenty of lenders who specialise in this area.
A whole-of-market broker will compare both options for you and recommend the one that saves you the most money. In many cases, a product transfer is the right call. In others, switching lenders is worth the extra effort.
What If Your Circumstances Have Changed?
This is where many borrowers get stuck. They assume that a change in income, employment status, or credit profile means they cannot get a new deal. That is rarely the case.
Lenders have different criteria. Some are more flexible with self-employed income. Others accept applicants with a recent CCJ or a short trading history. The key is matching your profile to the right lender, which is exactly what a broker does.
Even if your current lender would not offer you a new product transfer, another lender on the open market might offer you a competitive remortgage deal.
What Happens If You Do Nothing?
Your mortgage moves to the SVR. Your payments increase. You pay more interest every single month until you take action.
There is no penalty for being on the SVR, and you can leave at any time. But every month you stay on it costs you money that could have been avoided. For most people, sorting a new deal is one of the simplest financial wins available.
Fixed rate ending? Get a free remortgage review.
Frequently Asked Questions
How far in advance can I arrange a new mortgage deal?
Most lenders allow you to secure a new rate up to 6 months before your current deal expires. Some offer even longer windows. Starting early means you can lock in a rate and avoid any time on the SVR.
Is there a penalty for leaving the SVR?
No. Once your fixed rate has ended and you are on the SVR, there are no early repayment charges. You are free to remortgage or take a product transfer at any time without penalty.
Should I do a product transfer or remortgage?
It depends on your circumstances. A product transfer is faster and simpler, but limits you to your current lender’s deals. A remortgage opens up the whole market and may offer better rates or the option to borrow more. A whole-of-market broker can compare both options and recommend the best route for you.
Your home may be repossessed if you don’t keep up repayments on your mortgage.
Mondo Mortgages is a trading style of Fort Advice Bureau which is regulated and authorised by the FCA to conduct Mortgage and Protection business, FRN: 972730