Interest rates need to be pushed up by 1.75% for mortgage holders to benefit from switching to fixed rate deals.
Swapping variable mortgages for fixed rate alternatives too soon will prove more expensive to borrowers.
Locking into fixed rate mortgage deals will not be worthwhile for consumers until interest rates rise to 3.25%, new figures suggest.
Many borrowers are facing a difficult decision on whether to take up a fixed rate mortgage to safeguard against future rate rises. Home owners with variable rate mortgages would see their payments shoot up in line with any increases - they are worried that the Bank of England will hike up rates in a bid to curb inflation.