Cheltenham & Gloucester has responded to the Bank of England's base rate increase by announcing it will hold its rate until the end of the year.
C&G says it will hold its standard variable rate currently 6.85 per cent until December 31, when it will then rise by 0.14 per cent to 6.99 per cent.
This increase will not be passed on to the borrower should the Bank of England's base rate were to fall back to 5 per cent.
But the decision to hold the rate is dependent upon any further rises in the Bank of England's base rate. C&G says if a further increase occurs it will review the rate at that time.
C&G's managing director Roger Burden says: "Our borrowers can be reassured by our decision to delay the interest rate increase.
"We pass on interest rate movements in a fair and balanced way so that our customers benefit over the whole term of their mortgage."
