HSBC cutting rates on fixed-term mortgages

The bank on Wednesday announced it would be reducing the cost of residential products by as much as 0.35 percentage points, cutting rates on about 100 of its mortgage deals – including reducing a two-year fixed-term mortgage with 60% loan-to-value by 10 basis points to 6.14.

These reductions follow better than expected inflation data – which in turn has trimmed market expectations for further interest rate rises. It also comes after smaller lenders, including Platform – part of the Co-operative Bank, Yorkshire Building Society subsidiary Accord Mortgages and Pepper Money all said they’d be lowering their rates.