Perch
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The Bank of Canada announced on December 10th that they will hold their policy interest rate, keeping it at 2.25%.
Key Takeaways
- The Bank of Canada has held their policy interest rate, which keeps it at 2.25% as of their latest interest rate announcement.
- Talk to an experienced mortgage advisor to understand the announcement’s impact on your mortgage payment or upcoming renewal
Why did the Bank of Canada hold interest rates?Â
Commentary from Perch’s CEO and Principal Mortgage Broker, Alex Leduc:
The latest Bank of Canada interest rate announcement occurred on December 10, 2025. A decelerating GDP, an uptick in core inflation and a reduced unemployment rate all support the decision to hold rates.
What does this mean for my mortgage with Perch?Â
- For variable rate mortgages (meaning your payments don’t fluctuate as prime rates change): Your existing mortgage payments will remain unchanged. Use our Mortgage Renewal Calculator to get an estimation of what your expected rate and payment will be at your maturity date. If the payment isn’t manageable, connect with your advisor well in advance to look at all options.
- For adjustable rate mortgages (meaning your payments fluctuate as prime rates change): Your payments will remain unchanged for now and our outlook estimates there should potentially be one 0.25% rate cut from the Bank of Canada throughout by mid 2026 which will slightly lower your mortgage payments.
In the chart below, you can see how our 5-year variable rate forecast has changed over time based on the Bank of Canada’s interest rate announcements. (Like what you see? Sign up to get free, personalized mortgage insights and our monthly mortgage outlook!)
What is the Bank of Canada interest rate today?
The current Bank of Canada interest rate is 2.25%.
When is the next Bank of Canada interest rate announcement?
The next scheduled Bank of Canada interest rate announcement is Wednesday, January 28, 2026 at 9:45 AM ET.
What are the interest rate announcement dates in 2026?
There are a total of 8 Bank of Canada interest rate announcements each year. The dates for 2026 are as follows:
- Wednesday, January 28, 2026
- Wednesday, March 18, 2026
- Wednesday, April 29, 2026
- Wednesday, June 10, 2026
- Wednesday, July 15, 2026
- Wednesday, September 2, 2026
- Wednesday, October 28, 2026
- Wednesday, December 9, 2026
(Source:Â Bank of Canada)
The Bank of Canada typically makes their interest announcement at 9:45 AM Eastern Time.
Here’s what else we’re reading:
December Mortgage Outlook  (4 min read time)
Fixed or Variable? How to choose the right mortgage for you (4 min read time)
Mortgage switch vs mortgage renewal (4 min read time)
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