Andy Gray, head of mortgages at Woolwich, said: “Money markets have pushed the cost of short term fixed rates above five per cent so it is making them uncompetitive compared to tracker deals. We expect base rates to peak at five per cent by the end of this year, so tracker deals will still continue to offer better value over the longer term. Those borrowers who are nervous about interest rates movements should opt for our latest long term deal a competitive fixed rate of 4.98 per cent for 10 years.”