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At the same time Santander has launched a range of three-year fixed rate deals with no fee, available to new customers and on product transfer deals. However, it is cutting selected residential product transfer deals for existing customers by up to 0.15 percentage points, effective tomorrow . Five-year fixed rate product transfer deals start from 4.89percent. Leeds building society has also announced rate cuts to selected BTL products for new and existing customers. Loans for BTL remortgage for new and existing borrowers with at least 40percent equity have been cut by up to 0.15 percentage points.

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Santander has cut the cost of selected fixed rate deals for home purchase by up to 0.2 percentage points. The bank has also hiked rates on a range of its two-year fixed product transfer deals for existing customers. The bank will hike fixed rates on deals for larger sized loans, shared equity and shared ownership deals, as well as green mortgage products. The move will leave HSBC as the only mainstream lender still offering five-year residential fixed rates at under 4percent.

Swap rates are used by lenders to price their fixed rate mortgage deals. Its two- and five-year fixed rates for remortgage and product transfer , plus its first-time buyer, home mover and buy-to-let fixed rates will increase from tomorrow . The building society’s two-year fixed rate deal for remortgages will be priced at 5.74percent (60percent LTV) or 5.25percent for a five-year fix. Nationwide is increasing the cost of fixed rates for new business and existing customers looking to transfer to a new deal, by up to 0.7 percentage points from tomorrow . TSB has also increased rates for new and existing customers by up to 0.4 percentage points. Its two-year fixed rate remortgage deal is now priced at 5.54percent (60percent LTV) and its five-year fix is 5.04percent.

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