From 15th January 2026, Virgin Money’s standard variable rate will fall from 6.99% to 6.74%. Clydesdale Bank will make the same reduction to its standard variable rate, while its offset variable rate will decrease from 7.14% to 6.89%.
Updated tracker rates will be available from 19th December 2025 and will reflect the new base rate. Virgin Money said the tracker differential will remain unchanged.
For Virgin Money tracker cases currently at application or offer stage, including applications submitted today, offers will reflect the new base rate. Customers with tracker cases at post offer but pre completion stage will be contacted to explain how the base rate change affects their monthly payments.
Tracker cases that have already completed will be treated as existing customers.
Clydesdale Bank discounted offset variable rate cases at application or offer stage will see interest rates reduce from 15th January 2026 in line with the updated variable rate. Customers will be contacted on completion with details of their new rate and monthly payment.
Applications for fixed rate products are not affected by the changes.
Existing Virgin Money customers on the standard variable rate will be contacted to confirm changes to their rate and monthly repayment, which will take effect from 1 February 2026. Customers whose mortgage rates are directly linked to the Bank of England Base Rate will also see payment changes from 1 February 2026, in line with their mortgage terms and conditions.
Clydesdale Bank customers affected by the changes will be notified of their new rate following their next payment date after 15 January 2026, with the revised payment taking effect from the month after.
