Mortgage rates in the UK are set to rise, as the cost of UK gilts has reached a 12-month high. This rise is expected to have significant implications for homeowners and prospective buyers alike. There has also been a spike in swap rates, which influence the pricing of fixed-rate mortgages. The rise has been attributed to Chancellor Rachel Reeves’s fiscal plans. These rates have climbed from 3.87 per cent on October 29 to 4.04 per cent today for five-year swaps. Ten-year gilt yields, which are a proxy for the Government’s borrowing costs, rose this morning by 0.08 percentage points, to a 12-mon…