Morning Rate Update

Headline: Rates Take a Gentle Dip, Not Quite a Splash

PWLB Interest Rate Notice Number 079/26, AM reset at 09:05 on 26 February 2026.

Maturity Rates:

• 1y: 4.49% (-1)
• 3y: 4.60% (-1)
• 5y: 4.81% (-1)
• 10y: 5.39% (-1)
• 25y: 6.06% (0)
• 50y: 5.86% (-1)

Overall, a slight easing across the board with most maturities down by 1 basis point. The 25-year rate held steady, perhaps enjoying a moment of calm amidst the gentle fluctuations.

Market Context:

The yield curve remains relatively flat, with minor reductions in shorter maturities while the longer end shows more stability. Today, we await the release of key economic data, including the Gfk Consumer Confidence index, which is expected to remain unchanged at -16. This could provide insight into consumer sentiment, a crucial factor for economic stability and, by extension, gilt performance. In the news, the Chancellor is under pressure to outline a clear economic growth strategy, which may influence market sentiment and borrowing costs. Additionally, the Bank of England's recent dovish stance suggests a potential shift in monetary policy, which could further impact PWLB rates.

Calendar Events:

Today's Releases:

• Gfk Consumer Confidence - Due later today - Forecast: -16

Remaining Today:

• No significant economic releases scheduled.

This Week Ahead:

• Tomorrow, 00:01: GBP Car Production YoY - Forecast: 0.05
• Tomorrow, 00:01: GBP Gfk Consumer Confidence - Forecast: -16
• Tomorrow, 07:00: GBP Nationwide Housing Prices YoY - Forecast: 1.8%
• Monday, 09:30: GBP Mortgage Lending - Forecast: 4.20B
• Monday, 09:30: GBP S&P Global Manufacturing PMI Final - 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.

Keep calm and carry on borrowing wisely!