Together has cut selected fixed rates across its landlord and residential ranges by up to 25 basis points, while Principality Building Society will reduce its standard variable rate by 17bps.

Together says its regulated first charge loans will start at 8.10% for two-year fixes rates, 7.74% for five-year fixes, with variable rates at 9.85%. This includes:

• Five-year first charge prime plus fixes at 65% loan-to-value down by 25bps to 7.74%

Second charge two-year fixes will start at 8.40% and five-year fixes at 8.05%. Standard variable rates will start at 10.35%. This includes:

• Second charge prime plus fixes at 75% LTV down by 25bps to 8.25%

Its buy-to-let first charge loans will now start from 8.49% for two-year fixes, and variable rates from 9.24%. Second charge two-year fixes are priced at 9.49% for the two-year fixes and 9.99% for variable rates.

The moves come after the Bank of England cut rates by 0.25% to 5% earlier this month, its first reduction since March 2020, bringing the base rate down from a 16-year high.

Together chief executive sales and distribution Marc Goldberg says: “The new rates will give our customers access to opportunity across the market, with many economists expecting a steady downward rate environment over the next few months.

“The Bank of England’s welcome decision to cut interest rates after a 16-year high has had a positive impact and boosted competitiveness across the market — we are seeing a lot more across the sector.”

Meanwhile, Principality Building Society will cut its standard variable rates to 7.43% from 7.60% on 1 September.

The mutual adds that it will reduce on-sale variable products for new and existing customers by 25% on 12 September.