The rate cut activity was busy this week with several lenders improving their fixed rate deals.

As Moneyfacts finance expert Rachel Springall explains these movements led to a fall in the overall average two- and five-year fixed mortgage rates.

“Some notable cuts were made by a few of the most prominent brands in the market, such as Santander by up to 0.45%, TSB by up to 0.45%, Lloyds Bank by up to 0.15%, Halifax by up to 0.15%, RBS by up to 0.40%, NatWest by up to 0.69% and HSBC by up to 0.40%”.

Springall also points to many building societies cutting rates this week, those lenders to make cuts to selected fixed rates included Darlington Building Society by up to 0.80%, Loughborough Building Society by up to 0.76%, Saffron Building Society by up to 0.60%, Buckinghamshire Building Society by up to 0.50%, Scottish Building Society by up to 0.50%, Monmouthshire Building Society by up to 0.49%.

Also, Furness Building Society by up to 0.46%, Tipton and Coseley Building Society by up to 0.45%, Leeds Building Society by up to 0.43%, Suffolk Building Society by up to 0.40%, Coventry Building Society by up to 0.37%, Principality Building Society by up to 0.34%, Leek Building Society by up to 0.37%, Skipton Building Society by up to 0.27% and West Brom Building Society by up to 0.22%.

Not to go unnoticed, cuts were also made by Aldermore by up to 0.50%, Gen H by up 0.16%, Clydesdale Bank by up to 0.62%, Yorkshire Bank by up to 0.15% and The Mortgage Lender by up to 0.88%.

Springall adds: “A few eye-catching deals also surfaced this week, including a two-year fixed deal from Santander, priced at 4.36% and available at 75% loan-to-value for house purchase customers, it carries a free valuation and does not charge a product fee.

“These latest cuts will be welcome news for borrowers who are waiting for mortgage rates to reduce before they lock into a new deal. It is widely expected for rate cuts to continue to drop in the coming weeks, so close eyes will be on swap rates”.