The Monetary Policy Committee of the Bank of England lowered the base rate last week, the first time since 2020, by 0.25% to 5%, with industry expects saying that it would most likely lead to lowering of standard variable rate (SVR)and tracker rates.

HSBC added that the changes to its tracker rates would come into force from 2 August and that there would be no changes to its residential SVR and buy-to-let SVR.

Other lenders to change their SVR or tracker rates following the base rate cut include Santander, Virgin Money and Clydesdale Bank, Coventry Building Society and Penrith Building Society.

 

TSB to lower residential, buy-to-let, product transfer and additional borrowing rates

TSB said that it has lowered residential, buy-to-let, product transfer and additional borrowing rates by up to 0.2%.

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On the residential side, two, three and five-year fixed first-time buyer and home mover deals up to 80% loan to value (LTV) will be reduced by up to 0.2%. Pricing in this range starts from 4.49%.

Two-year fixed remortgage deals up to 75% LTV are being cut by 0.05% and rates begin from 4.69%.

Within its buy-to-let range, two and five-year fixed house purchase and remortgage rates have fallen by up to 0.3% with two-year fixed rates starting from 4.59% and 4.39% for five-year fixed rates.

Two and five-year fixed buy-to-let product transfer rates up to 75% LTV will be cut by 0.2% and start from 4.69% and 4.34% respectively.

Additional borrowing buy-to-let two and five-year fixed rates have decreased by up to 0.2%, with two-year fixed rates priced from 4.99% and five-year fixed rates starting from 4.49%.

TSB lowered its buy-to-let stress rate by up to 1% and lowered the stress rate used for background buy-to-let mortgages on residential applications from 6% to 5.5%.