The specialist lender has reduced rates by 10 basis points on many of its five-year fixes for residential borrowers.

For example, in its Pepper 6 range, for borrowers who have had previous defaults or CCJs, but not within the past six months, a five-year fix at 85% LTV has come down from 7.74% to 7.64%.

The same product at 75% LTV has been cut from 7.44% to 7.34%.

These deals come with its standard £1,495 fee.

In its 48 range, for borrowers with no defaults or CCJs in the past 48 months, its five year fix at 75% LTV is now down to 6.19% and at 85% LTV it’s been cut to 6.99%, both with a £1,495 fee.

However, the lender has also brought back some of its mid-fee two and five-year fixed rates, which have a £795 fee and free valuation.

It has added three-year fixed rates to its Debt Management Plan range.

Pepper Money sales director Paul Adams says: “We always strive to make our products as competitive as possible and we’re delighted to be able to introduce this lower pricing on mortgages across various product tiers.”