What is the Bank of England Bank Rate?

It is the official Bank Rate set by the Bank of England and it affects the interest rates offered by Banks, Building Societies and other financial institutions. By changing the official Bank Rate, the Bank of England seeks to influence overall borrowing in the economy.

The interest rate on a Base Rate linked product will fluctuate in line with changes to the Bank of England Bank Rate – the rate of interest may increase or decrease over the term of the facility and this will affect both the interest charged on overdrafts/loans and the total repayment amount on loans.

If your interest rate is fixed, any change to the Bank Rate will not affect the interest rate during the fixed period. However the interest rate you move to after the fixed period ends may be variable and therefore could change in response to changes in the Bank Rate.

The current Bank of England Bank Rate is 5.00% (effective from 1st August 2024).

Use our Rate change calculator to work out how a change in Bank Rate could affect your loan or mortgage repayments.

Rate Change Calculator

Where do i find this?

Log in to Internet Banking to view your most recent balance. Alternatively, you can find your balance in your most recent annual statement, you’ll need to take into account any payments made since the date of the statement.
£

Remaining termThe length of time you have left to pay back your borrowing. You can calculate your remaining term by taking your total loan duration as listed in your loan agreement and subtracting time elapsed since your loan start date.

Where do I find this?

Please enter the total interest rate as shown on your most recent loan statement. 
What is this?

Use the + or - buttons to add or deduct incremental changes of 0.25%. Or just type in the actual rate change you'd like to see illustrated. Interest rate change can be a positive or negative number.
Calculate Payment Change

Estimated monthly payment change

 

Based on your inputs, if the interest rate changed from ##currentinterestrate##% to ##newinterestrate##%, the approximate change to the monthly payment would be:

£##changerepayment## per month*

* The figure shown is for illustrative purposes only.

 

Based on your inputs, if the interest rate changed from ##currentinterestrate##% to ##newinterestrate##%, the approximate change to the monthly payment would be:

£##changeinterest## per month*

* The figure shown is for illustrative purposes only.

If you believe your business may be heading into financial difficulties, or you are struggling to meet your financial commitments, we can help provide you with support.

Refinancing your loan or overdraft

If you have a named Relationship Manager you should contact them in the first instance. If not, please speak to someone in the Business Management Team on 0345 300 0268 or +44 131 549 8724 if you're outside the UK.

Open a business account

To open a new business account or switch to us please call on 0345 300 1319.

All lending is subject to status

While all reasonable care has been taken to ensure that the information provided is correct, no liability is accepted by Bank of Scotland for any loss or damage caused to any person relying on any statement or omission. This is for information only and should not be relied upon as offering advice for any set of circumstances.  Specific advice should always be sought in each instance.

There is always a possibility that interest rates may go down leaving a fixed rate loan at a higher level compared to a variable rate loan. However, if interest rates rise, a fixed rate loan will remain at the same rate.