Morning Rate Update

Headline

PWLB Rates Slip Slightly as Market Holds Its Breath

Notice Details

PWLB Interest Rate Notice Number 063/26, AM reset, published at 09:13 on 16 February 2026.

Maturity Rates

• 1y: 4.49% (-2bps)
• 3y: 4.63% (-5bps)
• 5y: 4.86% (-5bps)
• 10y: 5.47% (-5bps)
• 25y: 6.12% (-5bps)
• 50y: 5.94% (-5bps)

Overall, the rates have dipped slightly, with the 3-year, 5-year, and 10-year maturities all experiencing a notable 5bps decrease. It seems the market is taking a breather, perhaps waiting for more substantial economic data.

Market Context

Today's PWLB rates reflect a modest downward trend across the curve, with the most significant movements occurring in the shorter maturities. As for economic data, there are no releases reported so far today, but tomorrow's unemployment rate is expected to hold steady at 5.1%, which could influence market sentiment. In the news, inflation is anticipated to fall to a year-low, potentially accelerating the Bank of England's rate-cutting cycle. Additionally, the ongoing discussions surrounding employment rights may impact hiring trends, which could further affect economic growth and, consequently, gilt yields.

Calendar Events

Today's Releases:

• No significant economic releases scheduled.

Remaining Today:

• No significant economic releases scheduled.

This Week Ahead:

• Tomorrow, 07:00: Unemployment Rate - Forecast: 5.1%
• Tomorrow, 07:00: Average Earnings excl. Bonus - Forecast: 4.4%
• Tomorrow, 07:00: Claimant Count Change - Forecast: 22k

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.

Remember, in the world of treasury, it’s always wise to keep your eyes on the rates and your feet on the ground!