The lender explained that swap rates had risen to “unprecedented levels” due to current economic conditions, pointing to two-year swap rates rising by close to 160 basis points in the last week.
Nationwide said to ensure that its pricing “remain sustainable”, two, three, five and 10-year fixed rates would rise by between 0.9 and 1.2 per cent, which was lower than the increase in swap rates.
Existing members switching or looking for additional borrowing would experience increases between 0.55 and 0.85 per cent.
Tracker rates will increase by around 0.5 per cent in line with the recent base rate increase.
New customers moving home and first-time buyer two and three-year fixed rates with £999 fee will start from 5.59 per cent.
Five-year fixed rates with £999 fee on the same range will begin from 5.19 per cent, 10-year fixed rates with £999 fee are priced from 5.19 per cent.
Two-year tracker rates with £999 fee will start from 3.19 per cent.
Shared equity rates will increase between 1.1 per and 1.15 per cent and existing members moving home will rise between 0.9 and 1.2 per cent.
Green additional borrowing rates and mortgage for over-55s, which includes retirement interest-only, lifetime mortgage and retirement capital and interest mortgages, will go up by around 1.15 per cent respectively.
It added that it would expand its range of 10-year fixed rates up to 95 per cent loan to value (LTV) and would limit five-year fixed rates to 90 and 95 per cent LTV in its helping hand range.
The latter change was done to ensure its high loan to income lending stays in its current regulatory limit of no more than 15 per cent of total lending.
Henry Jordan, Nationwide’s director of mortgages, said: “The changes made to our new business range are reflective of the current interest rate environment, which has seen mortgage rates increase across the market in line with a rapidly changing economic environment.
“Swap rates, on which mortgage pricing is based, have spiked as the market factors in expected future bank rate rises. These latest changes will ensure we are able to continue lending in a way that is sustainable to borrowers of all types.”
