Afternoon Rate Update

Headline

“PWLB Rates Shift Slightly: A Quiet Afternoon with Minor Adjustments”

Notice Details

PWLB Interest Rate Notice Number 484/25, published at 12:30 on 12 December 2025.

Maturity Rates

• 1y: 4.64% (-1)
• 3y: 4.78% (0)
• 5y: 4.98% (1)
• 10y: 5.54% (1)
• 25y: 6.17% (2)
• 50y: 5.93% (2)

The 1-year rate has decreased by 1 basis point, while the 5-year and 10-year rates have increased by 1 basis point. The 25-year and 50-year rates saw a modest rise of 2 basis points. Overall, the movements are relatively minor, indicating a stable afternoon for PWLB rates.

Afternoon Context

Since this morning, the economic data released has shown mixed results. The 10:30am release of GBP GDP MoM reported a contraction of -0.1%, which was below the forecast of 0.0%, indicating ongoing economic challenges. Additionally, the GBP Manufacturing Production MoM matched expectations at 0.01%. In the news, the UK economy's contraction has raised concerns about future growth, while global markets remain cautious amid broader economic sentiments. These developments may influence local authorities' borrowing strategies as they assess their financial positions.

Calendar Events

RELEASES SO FAR TODAY:

• 10:30am: GBP GDP MoM - Actual: -0.1% (Forecast: 0.0%, Previous: -0.1%) - Indicates ongoing economic challenges.
• 10:30am: GBP Manufacturing Production MoM - Actual: 0.01 (Forecast: 0.01, Previous: -0.02) - Reflects stability in the manufacturing sector.

REMAINING TODAY:

• No further significant economic releases today.

THIS WEEK AHEAD:

• Tuesday 16th: GBP Unemployment Rate - 07:00 - Forecast: 5.1%
• Tuesday 16th: GBP Average Earnings incl. Bonus - 07:00 - Forecast: 4.5%
• Tuesday 16th: GBP S&P Global Services PMI Flash - 09:30 - Forecast: 52

This commentary is provided for informational purposes only and should not be construed as financial advice. Market conditions can change rapidly, and you should always verify current rates directly with the PWLB or through official channels before making borrowing decisions. Past performance is not indicative of future results.

Until next time, may your treasury decisions be as sound as a well-tuned bell!