Santander for Intermediaries is increasing new business and product transfer rates by up to 0.24%, effective 11 March.
New business increases include all first-time buyer and home mover fixed and tracker rates, which will be hiked by up to 0.24%.
Large loan home mover and remortgage fixed and tracker rates will go up by as much as 0.21% and residential remortgage fixed and tracker rates will rise by up to 0.24%.
In addition, buy-to-let (BTL) purchase and remortgage fixed rates will go up by up to 0.21%.
Product transfer rate hikes will go up by up to 0.24% across all fixed and tracker products.
Meanwhile, TSB has made rate increases of up to 0.15% and changes on residential, BTL and portfolio BTL products.
Residential rate increases include TSB’s two-year fixed house purchase products (including affordable housing), three-year fixed house purchase products and two-year fixed remortgage products, all rising by as much as 0.15%.
Five-year fixed house purchase products (including affordable housing) and five-year fixed remortgage products have also risen by as much as 0.10%.
It has made rate and cashback reductions to its two-year fixed affordable housing remortgages by up to 0.50% with the cashback amount reducing to £300.
Within TSB’s BTL range, two- and five-year fixed house purchase products between 0% and 75% LTV will go up by up to 0.15% and two- and five-year fixed remortgage products between 0% and 75% LTV will rise by up to 0.15%.
In addition, the lender has added a two- and five-year fixed house purchase and remortgage product in its portfolio BTL range, available between 60% and 75% LTV and a fee of £1,995.
In the same range, TSB has increased the minimum loan amount for house purchase and remortgage products with no fee of £75,000.
It has also hiked rates on two- and five-year fixed house purchase and remortgage products by up to 0.15% in its portfolio BTL range.
Santander and TSB are among many lenders making rate increases due to the ongoing conflict in the Middle East.
Earlier today, John Charcol mortgage technical manager Nicholas Mendes said: “Mortgage rates had been gradually edging down over the past few weeks as markets priced in a series of Bank of England rate cuts later this year.
“The escalation in tensions involving Iran has shifted that tone quite quickly, as financial markets tend to react rapidly when geopolitical risk feeds into inflation expectations.
“Although oil prices have pulled back from earlier peaks, they remain materially higher on the day, still trading a little above $100 and roughly 10% higher overall.
“Energy prices tend to be one of the first transmission points into inflation expectations and that uncertainty has filtered straight through into government bond and swap markets.
“We’ve seen a sharp move in gilt yields, with the two-year currently around 21 basis points higher at roughly 4.08% and the five-year up about 16 basis points to around 4.27%.”
Mendes adds: “Those moves matter because they underpin the funding costs lenders use when pricing fixed-rate mortgages.
“As a result, we’re likely to see another wave of lenders withdrawing or repricing deals over the coming days, including some who only increased rates last week.
“When funding costs move this quickly, lenders typically respond fairly quickly as existing hedging rolls off, and they look to protect margins.
“Looking ahead to the next week or so, much will depend on whether markets settle or if volatility continues.
“Swap markets had previously been pricing in several Bank of England cuts this year, but expectations have shifted quickly.
“At this stage we are closer to a scenario where perhaps only one cut materialises across the year, rather than the series markets had anticipated a few weeks ago.”
