Principality Building Society Updates Mortgage Rates: What UK Borrowers Need to Know (September 2025)

Principality Building Society: Latest Mortgage Rate Changes Announced

Principality Building Society, a well-respected UK mortgage lender, has announced rate changes across a selection of its mortgage products.

These adjustments, effective from 9am on Friday 12th September 2025, reflect evolving market conditions and affect both new residential borrowers and those seeking remortgage or specialist borrowing solutions.

Understanding these updates is crucial for anyone considering a mortgage or remortgage in the coming weeks.

What’s Changing? Updated Mortgage Rates for September 2025

Effective from Friday 12th September 2025, Principality will be increasing rates on several key products within their residential lending range. These changes impact both standard fixed-rate mortgages and selected specialist product categories. Below is a breakdown of the main updates:

Residential Fixed-Rate Mortgages

• 2-year fixed at 65% LTV: Rates increased by up to 0.13%
• 3-year fixed at 65% LTV: Rates increased by 0.05%
• 5-year fixed at 65% LTV (with £1,395 product fee): Rates increased by 0.13%
• 5-year fixed at 65% LTV (no product fee): Rates increased by 0.06%
• 2-year fixed at 75% LTV: Rates increased by up to 0.14%
• 3-year fixed at 75% LTV: Rates increased by 0.03%
• 5-year fixed at 75% LTV (with £1,395 product fee): Rates increased by 0.15%
• 5-year fixed at 75% LTV (no product fee): Rates increased by 0.10%

Residential Fixed-Rate with Cashback

• 2-year fixed at 65% LTV: Rates increased by 0.08%
• 5-year fixed at 65% LTV: Rates increased by 0.09%
• 2-year fixed at 75% LTV: Rates increased by 0.03%
• 5-year fixed at 75% LTV: Rates increased by 0.12%

Specialist: Joint Borrower Sole Proprietor Products

• 2-year fixed at 75% LTV: Rates increased by 0.08%
• 5-year fixed at 75% LTV: Rates increased by 0.06%

These increases may affect the overall affordability and monthly payments for new applicants. If you are currently considering any of these products, it’s important to factor in the rate changes as you plan your application.

Who Will These Changes Affect Most?

These revisions are most significant for:

• Home movers and remortgagors seeking fixed-rate certainty at 65% or 75% loan-to-value (LTV)
• First-time buyers looking for competitive fixed-rate deals with or without cashback options
• Families using Joint Borrower Sole Proprietor (JBSP) products to help younger buyers onto the property ladder—JBSP allows family members to help with affordability without being co-owners

If your mortgage application is already underway, act quickly to secure current rates before the changes take effect at 5pm on Thursday 11th September 2025.

Are There Any Special Promotions or Standout Features?

While the emphasis of this update is on rate changes, Principality remains committed to providing:

• Cashback on selected fixed-rate mortgages, helping offset moving costs for buyers
• Flexible terms with or without product fees, allowing you to tailor your mortgage to your payment preferences and requirements
• Specialist JBSP lending, supporting family-assisted purchasing

These features can be particularly helpful for buyers wanting to manage upfront costs or for those with complex borrowing needs.

Why Choose Principality Building Society?

Principality Building Society is one of the UK’s largest mutual lenders, known for its transparent criteria and commitment to supporting home buyers and remortgagors. Key strengths include:

• Wide range of fixed-rate options catering to different deposit sizes and personal circumstances
• Consistently clear lending criteria and user-friendly application process
• Specialist products like JBSP for families and higher-LTV applicants

As rates across the market fluctuate, choosing a lender with the right range and expertise could be essential for securing your new home or the best remortgage deal.

Next Steps: Get Personalised Mortgage Advice Today

With Principality’s rates changing soon, it’s an ideal time to review your mortgage options. Our expert advisers can help identify the most suitable deals, compare rates, and support your application from start to finish. Contact our team today for tailored mortgage advice.

FAQs about the Principality Mortgage Rate Changes

• Who qualifies for Principality’s fixed-rate mortgages?
  Most UK residents with acceptable credit, a minimum deposit (typically 25–35%), and ability to meet affordability checks may qualify. JBSP products are available for family-assisted applications.
• How do these rate changes affect my monthly repayments?
  Higher rates mean slightly increased monthly payments for new applications compared to the previous range. Request a personalised quote for precise figures.
• Is Principality suitable for first-time buyers or family-assisted purchases?
  Yes. Principality offers first-time buyer products, cashback deals, and JBSP lending for family support.
• How can I apply or find out if I qualify for these products?
  Get in touch via our website or speak to one of our qualified mortgage advisers for a full eligibility assessment and support with your application.
• What does JBSP mean?
  JBSP stands for “Joint Borrower, Sole Proprietor” – it lets family members help with mortgage affordability but only one person is the property owner.