Hundreds of thousands of British homeowners are experiencing increases in their mortgage payments as borrowing costs continue to rise. Since February, approximately one million households have moved off lower fixed-rate mortgage deals, resulting in higher monthly expenses, according to data from the Bank of England.

Homeowners who had two-year fixed-rate mortgages with a 25 percent deposit are now paying an average of £70 more per month compared to earlier this year. This rise reflects an increase in average rates from 3.97 percent in February to 4.92 percent in August. Several major banks, including NatWest, Santander, HSBC, and TSB, have raised their mortgage rates in recent weeks, contributing to the upward pressure on mortgage costs.

Rachel Springall, a spokesperson from Moneyfactscompare, cautioned that further rate hikes remain possible. She emphasized that most mortgage offers are valid for six months, which means borrowers approaching the end of their current deals have an opportunity to shop around for better rates.

Springall noted that if borrowers secure a new mortgage offer within the validity period of their current deal and interest rates decline before their mortgage completion date, they may be able to switch to a more affordable option without incurring fees.

With borrowing costs remaining under close watch by lenders and regulators, experts recommend homeowners review their mortgage arrangements ahead of impending deal expirations to mitigate the financial impact of rising rates.