Halifax for Intermediaries has made a series of cuts to its fixed rate residential products, including one change that sees the lender offering its lowest ever two-year fix.

At 60% LTV, the lender has cut this mortgage from 1.04% to 0.83%. It is available for loans of up to £1m and charges a £1,499 fee.

Shaw Financial Services founder Lewis Shaw says: “The latest rates from the Halifax are stupendously low. I’ve never seen anything like this in all the years I’ve been broking.

“What this really tells us isn’t that lenders are wanting a rate war, more that lenders are as keen as mustard to get super low risk business on their books, probably to balance out the higher LTV lending they’ve had their hands forced into.”

And Peak Mortgages and Protection managing director Rhys Schofield says, that “Where the UK’s largest mortgage lender goes, others will surely follow.”

Other cuts at 60% LTV are of up to 23 basis points and at 85% LTV and 90% LTV, comprise reductions of up to 35 basis points.

These include:

• The 60% LTV two-year fix with zero fee having 23 basis points removed, going from 1.39% to 1.16%
• The 85% LTV two-year fix with zero fee being cut by 29 basis points, from 2.36% to 2.07%
• The 90% LTV two-year fix with £999 fee being reduced by 34 basis points, from 2.53% to 2.19%
• The 85% LTV three-year fix with £999 fee being cut by 35 basis points, from 2.44% to 2.09%
• The 90% LTV five-year fix with zero fee being reduced by 34 basis points, from 3.30% to 2.96%

The changes come into action on Monday 9 August.

A note from the lender adds that applications for existing product codes must be submitted by 5pm on Saturday 7 August.