This week, building societies took the lead in terms of fixed rate alterations but as whole during the run up to Christmas fixed rate changes have slowed significantly.

As a result, the average two-and five-year rates dropped slightly by 0.01% and 0.02% respectively to 5.46% and 5.23%.

As Moneyfacts spokesperson Caitlyn Eastell explains the prominent brands to reduce selected fixed rates this week included TSB remortgage rates by up to 0.25%, HSBC by up to 0.10% and also increased by 0.05%, and Royal Bank of Scotland and NatWest both reduced by up to 0.04%.

Building societies also made a few rates move this week, those to reduce fixed rates included Skipton Building Society by up to 0.10%, Leek Building Society by up to 0.20%, Nottingham Building Society by up to 0.20%, Furness Building Society by up to 0.30%, and Cumberland Building Society by up to 0.20%.

A few more lenders moved to increase rates which included Atom Bank by up to 0.15%.

Eastell commented: “There were some eye-catching deals to surface this week, including a two-year fixed rate deal from Furness Building Society, priced at 5.49% and available at 95% loan-to-value for remortgage customers, the deal does not charge a product fee and includes an enticing incentive package which includes a free valuation and £250 cashback. This may be an appealing option for buyers with a limited deposit and looking to save on upfront costs.

She added: “With inflation rising for the second consecutive month this week, the MPC decided to hold interest rates at 4.75%. This may therefore allow lenders time to play catchup and pass on the previous cut onto their fixed rate deals as these are not usually impacted in the first instance. However, there are expectations for base rate reductions to take place next year once stubborn inflation begins to settle but it is still unknown when and how many there will be.