TSB is hiking rates by 50 basis points on residential and buy-to-let deals tomorrow and Skipton Building Society is raising prices by up to 25bps.

The latest increases at TSB are on new customer deals and come in addition to those it previously announced last week.

On Friday the lender raised prices by up to 45bps on new customer deals.

Skipton’s increases of up to 25bps will apply to fixed rate deals for both new and existing customers.

Kensington is also raising rates on Wednesday.

Earlier today, NatWest revealed it would be repricing upwards for the second time in less than a week, with hikes of up to 28bps in the latest round.

Meanwhile, Clydesdale has urged advisers to take extra care over packaging cases in order to avoid rejection and warned that it is currently taking an average of 18 working days to process applications.

John Charcol mortgage technical manager Nicholas Mendes says: “Eighteen working days is certainly towards the longer end of the scale, but it does need some context. We are in a market where lenders are trying to manage two things at once: competitive pricing and service levels.

“When a lender keeps rates steady or sits within the market best-buys, that can bring in a sharp rise in applications very quickly. 

“At the same time, more borrowers are now acting earlier than they used to, with many looking to secure a new deal up to six months before their current fixed rate ends rather than waiting for the more typical three-month window.

“So, this is not just about one lender falling behind. 

“We have seen service times widen across several high street names in recent weeks. 

“For example, HSBC is currently showing around 15 working days for some residential cases, 21 for provisional accept or refer, and 18 for self-employed applications. 

“That gives you a sense of how stretched parts of the market have become.

“What it really shows is how quickly demand can build when rates are moving around and borrowers are trying to get ahead of further changes.”