Verified Bank of Canada policy-rate history
| Date | Policy rate | Change | Bank prime rate |
|---|---|---|---|
| July 2022 | 2.50% | +1.00 | 4.70% |
| September 2022 | 3.25% | +0.75 | 5.45% |
| October 2022 | 3.75% | +0.50 | 5.95% |
| December 2022 | 4.25% | +0.50 | 6.45% |
| January 2023 | 4.50% | +0.25 | 6.70% |
| June 2023 | 4.75% | +0.25 | 6.95% |
| July 2023 | 5.00% | +0.25 | 7.20% |
| June 5, 2024 | 4.75% | −0.25 | 6.95% |
| July 24, 2024 | 4.50% | −0.25 | 6.70% |
| September 4, 2024 | 4.25% | −0.25 | 6.45% |
| October 23, 2024 | 3.75% | −0.50 | 5.95% |
| December 11, 2024 | 3.25% | −0.50 | 5.45% |
| January 29, 2025 | 3.00% | −0.25 | 5.20% |
| March 12, 2025 | 2.75% | −0.25 | 4.95% |
| September 17, 2025 | 2.50% | −0.25 | 4.70% |
| October 29, 2025 | 2.25% | −0.25 | 4.45% |
| Dec 2025 – Sep 2026 | 2.25% | 7 consecutive holds | 4.45% |
Sources: bankofcanada.ca, nesto.ca policy-rate schedule, money.ca BoC overnight-rate history. Prime = policy rate + 2.20 pp (lender-published primes, e.g. National Bank prime 4.45% at policy 2.25%).
How to read this chart
- Variable rates move with lenders' prime rates, which move with the Bank of Canada policy rate — usually within days of each decision.
- Fixed rates follow the Government of Canada 5-year bond yield, which reacts to where markets expect the policy rate to go — so fixed rates can rise even while the BoC holds.
- The easing cycle cut 275 basis points off the policy rate from its 5.00% peak (July 2023 – May 2024) to 2.25% (October 2025), and the rate has been held there since.
Frequently asked questions
How does the Bank of Canada policy rate affect my mortgage?
Directly, if you're on a variable rate: lenders' prime rates move with the BoC policy rate, so your rate and payment adjust. Indirectly, if you're fixed: bond markets price in expected BoC moves, so fixed mortgage rates shift ahead of and around decisions.
When did the Bank of Canada last change rates?
The BoC cut the policy rate to 2.25% on October 29, 2025, and has held it there through the September 2, 2026 decision — seven consecutive holds.
What was the highest the policy rate reached?
The policy rate peaked at 5.00%, held from July 2023 through May 2024, before the cutting cycle began on June 5, 2024.
Why are the retail rate lines marked "illustrative"?
Unlike the BoC policy rate, which is one official number, "best mortgage rates" differ by lender, province, insured status and borrower profile. The dashed lines show the approximate trend of the best published retail rates; exact historical quotes aren't a single public dataset. Our current rate table lists exact, sourced quotes for today.
Where does this data come from?
The policy-rate series comes from the Bank of Canada's own key-interest-rate page, cross-checked against nesto.ca and money.ca policy-rate histories. The illustrative retail trends are based on published best-rate comparison snapshots (latestmortgagerates.ca, NerdWallet Canada, nesto.ca).