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Another lender cuts mortgage rates

Tue, 19 Aug 2008

Following similar decisions by a number of top UK mortgage lenders, Lloyds TSB has decided to cut mortgage rates again, for the second time in two weeks. The move confirms that competitions is intensifying in the mortgage market, after a long period of difficult conditions.

The lender slashed fixed-rate mortgage deals by as much as 0.5 per cent, but to qualify borrowers do need a 25 per cent deposit. The news follows announcements of a variety of top rates by lenders such as First Direct and Halifax .

The senior technical manager at broker Charcol, Ray Boulger, reportedly commented: "Clearly things are improving, rates are coming down and competition is increasing. There does seem to be genuine competition among the top six banks and a number of building societies ."

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