Standard variable rate

Find out what to expect if your mortgage moves to a standard variable rate (SVR). Whether you’ve just moved to an SVR or your mortgage deal ends soon, learn what it means for you.

What is a standard variable rate?

A standard variable rate is an interest rate set by your mortgage lender. You may be charged this rate after an initial mortgage deal. For example, if your 5-year fixed rate deal ends and you haven’t taken out a new one, you would move to a standard variable rate.

This typically happens if your deal was on a fixed or tracker rate mortgage.

Each lender sets their own SVRs and can change them at any time.

You can choose to switch to a new deal or remortgage with a different lender if you don’t want to move to a standard variable rate.

Good to know

A lender might have more than one SVR and might call them different names. When your Lloyds mortgage deal ends, we’ll move you to one of our lender variable rates.

On this page, we'll refer to ‘standard variable rate’ to explain how it works in general.

Moving on to a standard variable rate?

If your current mortgage deal is coming to an end and you haven’t yet switched or remortgaged, you’ll likely move to an SVR.

What to expect

If you move to an SVR, your lender should have given you notice. They should also let you know what your rate will be and if your monthly payment will be increasing.

An SVR can be reduced for any reason, but it should only be increased if there’s a reason.

At Lloyds, we will only increase our Lender variable rates if there’s a change to our cost of lending or any specific reasons in your terms & conditions.

If the standard variable rate changes, then your monthly repayments could change as well. Make sure you have budgeted for potential increases to your repayments.

Other considerations

Early repayment charges don’t usually apply on SVRs. This means you can overpay or repay in full without charge.

The SVR isn’t a deal you can apply for. You’ll move onto it when your existing deal ends.
Lenders may have more than one SVR.

What you can do

If your mortgage deal is ending, you can stick with your lender by getting a new deal or move to an SVR. Or you can think about remortgaging with another lender. Keep in mind that standard variable rates are usually higher than other mortgage rates, so it may be cheaper to switch or remortgage.

What to expect

If you move to an SVR, your lender should have given you notice. They should also let you know what your rate will be and if your monthly payment will be increasing.

An SVR can be reduced for any reason, but it should only be increased if there’s a reason.

At Lloyds, we will only increase our Lender variable rates if there’s a change to our cost of lending or any specific reasons in your terms & conditions.

If the standard variable rate changes, then your monthly repayments could change as well. Make sure you have budgeted for potential increases to your repayments.

What you can do

If your mortgage deal is ending, you can stick with your lender by getting a new deal or move to an SVR. Or you can think about remortgaging with another lender. Keep in mind that standard variable rates are usually higher than other mortgage rates, so it may be cheaper to switch or remortgage.

Other considerations

Early repayment charges don’t usually apply on SVRs. This means you can overpay or repay in full without charge.

The SVR isn’t a deal you can apply for. You’ll move onto it when your existing deal ends.
Lenders may have more than one SVR.

Already have a Lloyds mortgage?

Switch to a fixed rate mortgage

Don’t want to move on to our Lender variable rate? If you like the reassurance of a set monthly interest rate, you may be able to switch to one of our fixed rate mortgages.

Explore fixed rate mortgages

Switch to a tracker mortgage

If a fixed rate isn’t right for you, a tracker mortgage may be more suitable. The rate tracks the Bank of England Base Rate, which means it can go up or down.

Explore tracker mortgages

Don’t have a Lloyds mortgage?

If you have a mortgage with a different lender, you may be able to save money by remortgaging to Lloyds.

Remortgaging to Lloyds

You could lose your home if you don’t keep up your mortgage repayments

Frequently asked questions

  • Whether it’s best to stay on an SVR or switch will depend on your circumstances and the mortgage deals available. SVRs are usually higher than the interest rate on fixed deals. However, early repayment charges don’t normally apply on SVRs, which can be handy if you want to overpay. Compare the SVR against fixed and tracker rates, to see which one could be best for you.

  • Yes, an SVR can go down. Your lender can reduce the rate for any reason. Whenever there is a change with your rate and payment, your lender will notify you about those changes before they happen.

  • SVRs have no end date so can run until the end of your mortgage term. There are usually no early repayment charges, so you can choose a new deal when the time’s right for you.

You may also like

Mortgage rates guide

Unsure which mortgage rate is right for you? Read through our guide to each type of rate to clarify your options.

Read our mortgage rates guide

Bank of England base rate changes

Find out how the Bank of England Base Rate can impact your mortgage with our helpful guide.

BoE base rate changes

Paying off your mortgage early

Discover more about how you could pay your mortgage off early.

Paying off your mortgage early

Mortgages

Find out how much you could borrow, view our mortgage rates, learn about the different types of mortgage, and more.

Browse mortgages

A key in the lock of a door.

Mortgages

Find out how much you could borrow, view our mortgage rates, learn about the different types of mortgage, and more.

Browse mortgages