Mortgage rates have been cut by two major high street lenders following the recent 0.25% fall in bank base rates.
Alliance & Leicester and Nationwide are cutting rates on a selection of mortgages. Alliance and Leicester is reducing its standard variable mortgage by 0.25% to 6.59% and is effective from 15th August for new borrowers and 2nd September for existing borrowers.
Nationwide is dropping the rate on tracker and base rate mortgages by 0.25% and 0.10% respectively. Its base mortgage rate will be now 5.89%, applying to new and existing borrowers and are effective from September 1st.
Our view
Reasonable to expect a cut where the BoE has made cuts.