Major bank to slash mortgage rates this week in ‘bold move’

manchestereveningnews.co.uk:

A major bank has announced it will be slashing some of its mortgage rates from Wednesday, following a series of rate increases by other lenders.

Barclays plans to cut rates on certain products by up to 0.20 percentage points within its range of residential purchase and remortgage offerings, after what's been described as a volatile period in the swap markets.

Swap rates are used by lenders to price mortgages. Barclays' head of mortgage and savings, Mark Arnold, said: "I’m delighted we’re able to decrease core mortgage rates again, after what has been a very volatile period in the swap markets. "As we have done during the course of this year, when we see an opportunity in the swap markets we will act swiftly to pass on the benefit to our mortgage customers." READ MORE: First-time buyers urged to 'act now' ahead of major £300,000 change coming in April 2025 Among the offerings is a revamped remortgage deal set at 4.3%, dropping from the current 4.5%, aimed at borrowers with a 25% equity stake and includes a £999 fee.

In recent weeks, major lenders have been hiking a selection of mortgage rates, citing the swap rate environment. The Bank of England recently reduced the base interest rate to 4.75%, a quarter-point cut, marking the second time interest rates have been cut this year.