Barclays adds to sub-4% deal options; Clydesdale reduces rates too

Barclays expanded its sub-4% mortgage range in April 2025, adding six more products including options for existing customers. The largest rate cut was 33bps on a two-year remortgage fix at 75% LTV. Rates across residential and remortgage products dropped to as low as 3.91%. Clydesdale Bank also reduced selected residential and large loan rates by up to 0.15%, though some buy-to-let rates increased by up to 0.09%.

NatWest relaxes stress test rules, launches JBSP loan, cuts rates  

NatWest relaxed mortgage stress test rules in April 2025, enabling families to borrow up to £33,000 more. It launched a joint borrower sole proprietor (JBSP) Family-Backed mortgage, allowing first-time buyers to combine incomes with relatives while retaining sole ownership. The bank also introduced sub-4% two- and five-year fixed mortgages at 3.88% for 60% LTV. These changes followed similar moves from Lloyds and Santander to ease affordability constraints.

Accord makes strategic changes to leadership team

Accord Mortgages restructured its leadership team in May 2025, expanding it from eight to ten members with two new roles. Chris Hill became head of sales, Nick Piper was appointed head of strategy, and Nicola Alvarez took on strategic partnerships. Caroline Mills joined as intermediary distribution team manager, while Gurpreet Chahal and Angelika Christian assumed regional sales and partnership roles. Managing director Jeremy Duncombe said the changes aimed to enhance broker support and future-proof the business.

Property tax valuations body scrapped in drive to cut red tape 

The government announced it would scrap the Valuation Office Agency and merge it into HMRC by April 2026, aiming to cut red tape and increase oversight. The agency, responsible for valuing properties for council tax and business rates, helped collect £60bn annually. Labour said the move could save 5–10% in admin costs by 2028–29. The decision forms part of wider efforts to simplify the tax system and reduce business red tape costs.

PEXA gains FCA approval ahead of sale and purchase product launch

PEXA received authorisation from the Financial Conduct Authority to operate as an authorised payment institution, marking a key milestone before launching its UK sale and purchase product in late 2025. This new product, alongside its remortgage service, aimed to support around 70% of property transactions in England and Wales. The approval also enabled PEXA to act as a third-party managed account provider for conveyancers, reinforcing its commitment to secure, scalable, and lasting industry innovation.

UK property appeals as ‘safe haven’ amid Trump tariffs: Knight Frank  

Knight Frank reported that international buyers and tenants have turned to the UK property market as a “safe haven” amid instability caused by Trump’s tariffs. The uncertainty in global markets, especially regarding US trade policy, has made UK real estate more appealing. Mortgage rates dropped as the Bank of England was expected to cut rates. Knight Frank noted increased UK property exchanges under £5m and growing interest from investors, particularly in London.

  End of week sees host of rate reductions: Moneyfacts

After a slow start to the week due to the Easter bank holiday, mortgage rate reductions picked up towards the end of the week, with over a dozen lenders cutting fixed rates. The average two-year and five-year fixed rates dropped to 5.21% and 5.12%, respectively. Notable rate cuts were made by major banks and building societies, including Nationwide’s attractive 3.89% five-year fixed deal. More lenders also began offering sub-4% mortgages.

Rental property shortage as third of landlords plan sales: Pegasus

Pegasus Insight reported that 37% of landlords planned to reduce their property portfolios in the next year, nearly double the amount from Q1 2022. With fewer landlords expanding their portfolios, a potential rental property shortage loomed. Despite high tenant demand and steady rental yields, landlords expressed concerns over policies like the Renters’ Rights Bill and potential tax hikes. This could lead to reduced stock in the private rental sector, driving up rents.

Halifax announces more sub-4% deals

Halifax announced three new sub-4% mortgage deals, following similar rate cuts the previous week. These included a two-year fixed rate at 3.79% for a 60% LTV with a £1,999 fee, and two five-year fixed rates at 3.88% and 3.98%, both with £999 or £1,999 fees. Last week, Halifax also reduced rates on homebuyer and remortgage products, including a two-year fixed at 3.94% and five-year fixed rates starting at 4.27%.

FCA set to launch live AI testing service

The Financial Conduct Authority (FCA) announced plans to launch a live AI testing service in September 2025. The service aims to help firms deploy safe AI tools while collaborating with the regulator. It will run for 12 to 18 months, offering regulatory support to firms deploying consumer or market-facing AI models. This initiative aligns with the FCA’s new five-year strategy to support tech growth and better understand AI’s impact on UK financial markets.