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2026 kicks off with our largest home loan lender raising its floating rate (as a profit improver) but others are not likely to follow

Personal Finance / news
2026 kicks off with our largest home loan lender raising its floating rate (as a profit improver) but others are not likely to follow

ANZ has raised its floating mortgage rates by +10 bps, effective Thursday, January 29, 2026 for existing customers.

The rise is effective Thursday, January 15, 2026 for new customers.

An ANZ spokesperson said it is "a small change to our floating and flexi rates to align with market conditions".

This is how the banks now compare:

  Floating
  %
ANZ, after this change 5.79
ASB 5.79
BNZ 5.84
Kiwibank 5.65
Westpac 5.89
   
Cooperative Bank 4.99
Heartland Bank 5.30
SBS Bank 5.84
TSB 5.79

It is an easy profit improvement for the nation's largest home loan lender because they already had an advantage over their main rivals, and this change doesn't erode its net position. But there is an apparent 14 bps advantage to Kiwibank now. However, if any clients were going to shift there from any of the main banks, they would have done so by now. These others have had their rate levels announced since November 26, 2025.

Since the last OCR change, both bank bill rates have been essentially unchanged. Short (1 year) swap rates have been stable too. ANZ is adding to these rates because they can, and not because of any money cost pressures.

Fixed mortgage rates

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Daily swap rates

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Source: NZFMA
Source: NZFMA
Source: NZFMA
Source: NZFMA
Source: NZFMA
Source: NZFMA
Source: NZFMA

Comprehensive Mortgage Calculator

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