Weekly rate watch: Fixed deals edge higher

By: ameer@trustedteam.com

Fixed mortgage rate rises took precedence this week, with some of the biggest lenders increasing fixed rates in the run up to the Bank of England base rate announcement.

Several lenders increased their tracker rates in the aftermath of the base rate rise by 0.25%, this included Barclays Bank, Accord Mortgages, First Direct, HSBC, Leeds Building Society, MPowered Mortgages, Virgin Money, and Yorkshire Building Society.

The latest Moneyfacts mortgage rate watch shows that in the fixed mortgage market, one of the biggest rises was from Aldermore, increasing its rates by up to 0.45%, closely followed by The Co-operative Bank and Platform which increased rates by up to 0.35%, and another notable rise came from Clydesdale Bank which increased selected fixed rates by up to 0.31%.

Some of the biggest names made moves this week too, TSB increased selected fixed rates by up to 0.30% but also reduced some rates by up to 0.20%.

Santander increased rates by up to 0.22%, NatWest and RBS also made increases, but by a smaller 0.17% rise to its selected fixed range.

Moneyfacts finance expert Rachel Springall comments: “It appears that rate rises are overtaking any rate reductions at present, with only a handful of lenders reducing fixed rates this week”.

She adds: “Moving onto next week, it will be interesting to see how swap rate volatility and the latest base rate rise will have on the mortgage market.”

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