The rate changes have been applied to its Pepper48 residential range, which is aimed at customers who have not missed a payment on a loan or had a county court judgement (CCJ) in the last 48 months.
Two- and five-year fixed Pepper48 Light rates have been changed, including its five-year fixed rate at 80% loan to value (LTV), which has decreased by 0.25% to 5.49%, and its five-year fixed rate at 85% LTV, falling by the same amount to 5.84%.
The lender’s two-year fixed rate at 85% LTV has decreased by 0.35% to 6.04%, and at 75% LTV its two-year fixed rate has contracted by 0.25% to 5.39%.
Limited edition products in the range have been cut by 0.1%, with 75% LTV deals starting at 4.79%.
Pepper Money is also adding free valuations for Pepper48 and Pepper36 products, with the change applying to both individual and limited company borrowers.
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The lender said that this would lower upfront costs for customers and help brokers find competitive options in the market.
Paul Adams, sales director at Pepper Money, said: “We’ve started 2026 how we intend to continue the year – making proactive decisions to support brokers. We understand the challenges they face when supporting customers who don’t neatly fit high-street criteria. By reducing pricing across our Pepper48 range and removing valuation costs on BTL products, an area of particular focus for us in 2026, we’re making it easier for advisers to place more cases with confidence.
“We remain committed to growing the specialist market with meaningful enhancements, and these announcements are just the latest step. As always, we’re listening to broker feedback, and we look forward to sharing further improvements throughout 2026.”
TML and Bluestone Mortgages cut resi rates
Shawbrook Retail Mortgages has lowered residential mortgage rates within The Mortgage Lender (TML) and Bluestone Mortgages brands by up to 0.5%. The changes will come into force on 14 January.
Bluestone Mortgages is lowering rates by up to 20 basis points (bps) across selected products, including a 15bps cut on 85% LTV two-year deals, alongside reductions of up to 20bps for 90% LTV two-year products and 15bps on 90% LTV five-year products.
In TML’s residential range, selected two-year and five-year products within the RL0 and RL1 tiers will fall by an average of 6bps, with cuts of up to 20bps on some products.
TML has also removed the £150 application fee across its residential range, and lowered limited edition products and shared ownership rates by up to 50bps.
Steve Griffiths, commercial director of retail mortgages at Shawbrook, said: “We know affordability and upfront costs remain front of mind for both brokers and borrowers. By cutting rates, removing application fees where we can and widening access across TML and Bluestone Mortgages, our aim is to help brokers support customers with greater confidence in a challenging market.”
