Major lender announces rate cuts for new and existing customers
Barclays is set to implement rate reductions on a selection of residential mortgage products effective from tomorrow, August 14.
The changes will affect options for home purchase, remortgage, and existing customer reward deals.
Among the purchase products, the two-year fixed rate at 85% loan-to-value (LTV) with a £899 fee will decrease from 4.22% to 4.12%. The five-year fixed at 85% LTV with no fee will move from 4.37% to 4.23%, while the five-year fixed at 95% LTV with no fee will drop from 4.99% to 4.80%.
For remortgage clients, the two-year fixed at 85% LTV with a £999 fee will fall from 4.75% to 4.39%. The Great Escape five-year fixed product at 85% LTV with no fee will be reduced from 4.70% to 4.40%.
The move comes as lenders across the UK respond to heightened competition and a recent reduction in the Bank of England’s base rate, which has contributed to lower borrowing costs. Brokers are expected to monitor these developments closely to help clients secure favourable deals.
Additional changes include a two-year fixed at 70% LTV with a £1,999 fee, which will see its rate lowered from 3.97% to 3.94%. Existing mortgage customers will also benefit from cuts, with rates in the reward range decreasing by up to 0.08 percentage points. For example, the two-year fixed at 85% LTV with a £999 fee will be reduced from 4.47% to 4.39%.
The adjustments apply to both standard and Green Home mortgage products, affecting a range of LTV bands and fee structures for new and existing borrowers.
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