UK and US mortgage rates climb in early August

In the United Kingdom, the average two‑year fixed mortgage rate rose 17 basis points over the past month to 5.63%, while the three‑year and five‑year fixes also edged higher. Moneyfacts data show that some major lenders cut rates, but more increased them, leaving more than five million UK homeowners facing higher repayments, according to the Bank of England’s Financial Stability Report.

In the United States, the average 30‑year mortgage rate held steady at 6.63% APR in the first week of August, a slight increase from July’s monthly average of 6.5%. The rate movement was linked to mixed job‑growth data from ADP and expectations about Federal Reserve policy, with geopolitical tensions in the Middle East also cited as a factor influencing market sentiment.