Bank of Ireland raises variable mortgage interest rates by 0.25%

The increase in the Bank’s first change to its variable rates since the European Central Bank (ECB) started raising interest rates in July 2022.

Bank of Ireland is increasing its variable mortgage rates by 0.25% from today.

It means the rate will be in place for new mortgage customers or existing customers switching to a variable rate.

Bank of Ireland said that for existing mortgage customers already on a variable rate, the change will be effective from December 8.

The increase in the Bank’s first change to its variable rates since the European Central Bank (ECB) started raising interest rates in July 2022. To date, the ECB has increased interest rates by a cumulative 4.5%.

Bank of Ireland has already increase rates on its fixed-rate products for new customers by 1.75% and existing customers by 1.25%.

Yesterday, the ECB announced it was pausing its series of rate hikes as it aims to bring inflation under control but indicated it would be a number of months before consideration would be given toward cutting rates.