The new loan has a rate of 1.28% and comes with a £999 fee, and will be available from Thursday January 4.
The products benefiting from a rate cut, include Help To Buy, buy to let and purchase and remortgages.
It means the lender now offers a two-year fixed rate at 85% LTV and 1.65%, a five-year fixed rate at 69% LTV of 1.85%, and a Help To Buy two-year fixed rate at 75% LTV at 1.79%.
Craig Calder, director of Barclays Mortgages, (pictured) said: “We are really excited about the potential of the market in early 2018.
“These new and reduced rates will boost our already highly competitive product range.
“As well as the new two-year fixed, the rate reductions we are making on our higher LTV products will provide even better value for customers looking to move or buy their first home.”
At the tail end of last year, Principality and Post Office were among the providers that cut rates in preparation for a desired rush of New Year buyers.
Accord also trimmed rates at the end of December and this week added three discount Standard Variable Rate (SVR) tracker deals.
