The Martin Lewis Podcast It’s Love Actuarially! Base interest rate cut help. And will you get £150 off energy bills?
Dec 18, 2025
In this week’s discussion, the Bank of England cuts the base interest rate—what does this mean for your mortgages and savings? Discover how to save on energy bills with the government's £150 discount. Listeners share heartwarming stories of financial kindness amidst the money talk. Martin also explores the curious case of opening Christmas gifts early to check for faults. Plus, insights on the tricky world of representative APR and when to switch banks. Tune in for practical tips and financial wisdom!
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Base Rate Cut And Who It Affects
- The Bank of England cut the base rate to 3.75% and signals further cuts may come as inflation falls back to target.
- Variable-rate borrowers and savers are the main groups who will feel immediate effects over coming weeks.
Act Fast On Fixed Savings
- If you're on a fixed-rate mortgage, your rate stays until the fix ends so do not rush to change it.
- If you need fixed savings now, lock them in immediately because providers will likely lower new fixed rates fast.
Trackers And SVR: Watch Announcements
- If you are on a tracker mortgage, expect your rate to fall roughly by the Bank's cut automatically.
- For those on standard variable rates, watch lender announcements over the next month for the exact change.