The latest weekly rate watch from Moneyfacts shows that the average two-year fixed rate across all LTV tiers ticked down by 1 basis point to 5.92% over the past week.

The average five-year fix also dropped by a single basis point to 5.5%.

Three-year fixed rates saw the biggest reduction, down by 3 basis points to 5.63%.

Two-year fixes

Average rates in the 65% tier saw the steepest reduction, down by 4 basis points to 5.59%.

Rates in the 60% LTV tier were down by 3 basis points to 5.39%.

At higher LTVs there was less movement, with rates either static or down by between 1 and 2 basis points.

Three-year fixes

Several different LTV tiers saw substantial drops over the past week.

Average rates on no-deposit 100% LTV deals fell by 4 basis points to 5.11%, 85% LTV rates were down by the same amount to 5.85% and 65% LTV rates were also down by the same margin to 5.16%.

Five-year fixes

There was little movement in five-year fixed rates, with most LTV tiers down by one basis point or unchanged.

At 75% LTV average rates dipped by 2 basis points to 5.34% and at 60% LTV they fell by the same amount to 5.01%.

Ten-year fixes

Overall there was no change to average 10-year fixed rates which remained at 5.88%

Moneyfacts finance expert Rachel Springall says: “More than a dozen lenders moved to reduce fixed rate mortgages this week, some of which from prominent high street brands. 

“However, these moves only resulted in a slight fall to both the average two- and five-year fixed rates.

“The prominent brands to reduce selected fixed rates this week included Barclays Mortgage by up to 33 basis points, Halifax by up to 13 bps, First Direct by up to 17 bps, Lloyds Bank by up to 5 bps and Virgin Money by up to 12 bps.

“Building societies also made a few rate moves this week, those to reduce fixed rates included Skipton Building Society by up to 33 bps, Nationwide Building Society by up to 30 bps, Hinckley & Rugby Building Society by up to 30 bps, Nottingham Building Society by up to 20 bps on selected RIO mortgages, Coventry Building Society by up to 18 bps, Leeds Building Society by up to 15 bps and Newcastle Building Society reduced by up to 40 bps but it also made increases on selected deals by up to 21 bps.

“Due to volatile swap rates, there are expectations that fixed mortgage rates will fall over the next couple of weeks, but it will be interesting to see by what margin.”