20 March 2020

HSBC announces further rate reduction on variable rate mortgages

HSBC UK is further reducing its variable rate mortgages, following the Bank of England’s decision to reduce Base Rate, the bank announced today. Rate cuts include lowering its standard Variable Rates by 0.15% alongside all on-sale and off-sale tracker rates reducing by 0.15%.

These changes mean:

  • HSBC UK’s residential Standard Variable Rate reduces from 3.69% to 3.54%.
  • HSBC UK’s Buy to Let Standard Variable Rate is cut from 4.75% to 4.60%.

This additional reduction in variable rates follows the introduction of a package of support for customers as they tackle the financial impact of Covid-19. That package includes short term support through reduced or deferred payments for mortgages, with longer term support through extending the remaining term of their mortgage, switching rates or switching part or all to interest-only mortgage arrangements. We have now also added the option of a mortgage payment holidays, which was not previously a feature on our mortgages.

Michelle Andrews, HSBC UK’s Head of Buying a Home, said: “These are unprecedented and challenging times, with the landscape changing significantly on a daily basis. There are a great number of unknowns across may parts of our lives at the moment, and for those concerned about their finances it can be a particularly stressful time.

“We are here for our customers to help them through these difficult times. Reducing the rate of our SVR and tracker rate mortgages will provide additional relief for those on variable rate mortgages.”

Michelle Andrews continued: “HSBC UK’s mortgage rates remain some of the lowest on the market, including our Standard Variable Rate, maintaining our commitment to offer great value for all new and existing customers.”

These changes, for new and existing borrowers, will come into effect from 1 April 2020 for standard variable rates and within 24 hours for tracker rates. We will be writing to those customers whose mortgage rate will be changing, with details of the change in payment in line with their mortgage terms and conditions.

There are no changes to our current range of savings products, although these are under review.

For the latest news and updates, visit the HSBC UK newsroom.

Media enquiries:

Steve Gracey – steve.gracey@hsbc.com / 020 7991 4118

Email: UKPressOffice@hsbc.co.uk


HSBC UK serves around 14.5 million customers across the UK, supported by 32,000 colleagues. HSBC UK offers a complete range of retail banking and wealth management to personal and private banking customers, as well as commercial banking for small to medium businesses and large corporates.

HSBC Holdings plc

HSBC Holdings plc, the parent company of the HSBC Group, is headquartered in London. HSBC serves customers worldwide from offices in 64 countries and territories in our geographical regions: Europe, Asia, North America, Latin America, and Middle East and North Africa. With assets of US$2,715bn at 31 December 2019, HSBC is one of the world’s largest banking and financial services organisations.

HSBC announces further rate reduction on variable rate mortgages (2-page PDF 307KB)