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The Mortgage Works and Natwest make rate changes – round-up

  • 12/05/2022
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The Mortgage Works and Natwest make rate changes – round-up
The Mortgage Works (TMW) and Natwest have made changes to their rates.

For new Natwest customers, rates rose by as much as 15 basis point (bps) while mortgage for existing customers saw increases of around nine bps.

Meanwhile, TMW is cutting buy-to-let products rates down by up to 0.55 per cent for some of its limited company borrowers.



Natwest has made its second set of changes to both new and existing product ranges in the space of a week.

Rates on two and five-year fixed rate categories are almost identical on most like-for-like products, with less than five bps difference between them.

This round has seen residential rates go up by 15bps across the core range to average out at around 2.9 per cent, with the exception of the five-year fixed remortgage at 90 per cent loan to value (LTV) product, which went up by 0.05 per cent to 3.04 per cent.

First-time buyers are also taking a 15bps hit on higher LTV ranges on 85-90 per cent products with £1,000 cashback.

New green mortgages and remortgages at 60 to 85 per cent LTV with a £995 fee are all going up by 15bps too.

The 95 per cent LTV mortgage guarantee residential product rates are also up 15bps. These have no fee and £750 cashback, with a rate of 3.44 per cent for a five-year fixed, and 3.42 per cent on a two-year fixed.

Existing customers are seeing a bit of a better deal – rates for core range switchers are going up between seven and 15bps, with or without the £995 fee for two-year fixed products.

There’s been a nine to 14bps hike five-year switchers at 60 per cent LTV, including products for high value borrowers. The five-year fixed 75 to 85 per cent ranges are going up by around 13bps.

One of the smaller increases have been made to the 80 per cent LTV option with a £995, as this has increased by six bps to 2.6 per cent. The 90 per cent LTV alternative with a fee has risen by five bps to 2.89 per cent, while the fee-free option has increased by 20bps to 3.25 per cent.



TMW has reduced selected limited company buy-to-let rates by up to 0.55 per cent.

The five-year fixed rates at 75 per cent (LTV) are available for purchase and remortgage, and include a 3.19 per cent rate with a £1,995 fee; a 3.24 per cent rate with a £995 fee; and a 3.47 per cent rate with no fee.

Following the recent base rate rise to one per cent, tracker rates will also be increasing by 0.25 per cent.

Daniel Clinton, head of TMW, said: “These latest changes see us making reductions to our range of limited company mortgages, which is an important and growing segment of the market. Many landlords are increasingly choosing to expand their portfolio in this way following the changes to tax relief on individual ownership.”

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