Yorkshire Building Society (YBS) has reacted to positive market noises on interest rates, by reducing its own fixed and tracker products by as much as 0.41%.
The move was designed to pass on value to borrowers and followed suggestions by Bank of England Governor Andrew Bailey earlier this week to the Commons Select Committee, that “we are now much nearer to the top of the [interest rate] cycle.”
YBS reduced its 2-year fixed rates by up to 0.20%, its 3-year fixes by up to 0.41%, 5-year fixes by as much as 0.20%, and launched 10-year fixes with rates 0.23% lower.
Many of YBS’ trackers also saw reductions of 0.25%.
Products in the new range include a 5-year fix for house purchase up to 95% loan-to-value (LTV) at 5.69%, with a £995 fee, free valuation and £250 cashback, as well as a 5-year fix up to 90% LTV at 5.40%, again for house purchase, also with a £995 fee as well free valuation.
Ben Merritt, director of mortgages at YBS, said: “We’ve remained committed to passing on as much value to our borrowers as possible, throughout the market volatility we’ve seen over the past year, and these rate reductions are the latest example of that.
“We hope these latest reductions will go some way towards helping people withstand the current cost-of-living challenges, as positive signals emerge that we could be heading for a more stable interest rate environment overall before too long.”
