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• The bank’s five-year fixed rates for remortgage now start from 4.26percent.
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• Tandem Bank, the specialist digital lenders, has cut residential fixed rate deals by up to 0.96 percentage points.

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NatWest’s new two-year residential purchase fixed rates start from 4.77percent with a 1,495 fee (60percent loan to value), up from 4.64percent. The five-year equivalent deal will rise to 4.4percent, up from 4.19percent. Nationwide building society, the UK’s second largest lender, is increasing selected fixed rates for new borrowers by up to 0.25 percentage points from tomorrow . MPowered’s remortgage rates are higher than its purchase rates over two and five years, but they are still competitive. It is offering a two-year deal at 4.77percent and five-year rates from 4.43percent (both at 60percent LTV with a 999 fee). In contrast, Natwest has a five-year fixed rate for remortgage at 4.32percent (60percent LTV), for example, but it has a bigger fee at 1,495.

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TSB will cut rates by up to 1.8 percentage points on its residential mortgage range from 27 January. It will also cut rates by up to 1.55 percentage points on its shared equity and shared ownership fixed rate mortgage range, and by up to 0.8 percentage points on its buy to let fixed rates. The three-year fixed rates (which have been cut by 1.8 percentage points) will start from 4.64percent at 60percent LTV with a 995 fee. The five-year fixed rates start from 4.39percent (cut by 0.4 percentage points) at 60percent LTV with a 995 fee. Mortgage experts say sub-4percent fixed rate deals aren’t about to disappear, despite the recent spike for lenders in the cost of providing fixed rates to customers, writes Jo Thornhill.

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Nationwide building society is cutting selected fixed rates by up to 0.31 percentage points from tomorrow . Among its new rates it will offer a five-year fix for home purchase at a market-leading rate of 4.29percent. Pepper Money has made cuts across its entire mortgage range by up to 0.98 percentage points.

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