Mortgage price wars heat up as Barclays cuts rates to help buyers with lower deposits - full list of changes

The lender's two-year fixed rate at 80 per cent loan-to-value will fall from 4.05 per cent to 3.98 per cent for mortgages with an £899 product fee.

For buyers with smaller deposits, the five-year fixed rate at 95 per cent loan-to-value will decrease from 4.87 per cent to 4.80 per cent with no product fee.

These reductions are part of broader adjustments across Barclays' residential purchase range.

While some remortgage products will see increases, the bank is cutting rates on purchase-only deals.

Reductions apply across several loan-to-value brackets.

For example, two-year fixed mortgages at 90 per cent loan-to-value will fall from 4.34 per cent to 4.28 per cent with an £899 fee.

The fee-free option will also drop, moving from 4.53 per cent to 4.48 per cent.

Premier customers will see reductions on 90 per cent loan-to-value products, with rates falling from 4.33 per cent to 4.27 per cent.

Three-year fixed mortgages at the same loan-to-value will decrease from 4.64 per cent to 4.58 per cent.

Full list of changes:

Residential – Purchase only

• 4.22 per cent 2 Yr Fixed £899 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.12 per cent
• 4.63 per cent 2 Yr Fixed £0 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.43 per cent
• 5.05 per cent 2 Yr Fixed £0 product fee, 95 per cent LTV, Min loan £25k, Max loan £570k will decrease to 4.88 per cent
• 4.75 per cent 2 Yr Fixed £1999 product fee, 85 per cent LTV, Min loan £2m, Max loan £5m will decrease to 4.39 per cent
• 4.29 per cent 5 Yr Fixed £899 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.12 per cent
• 4.37 per cent 5 Yr Fixed £0 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.23 per cent
• 4.99 per cent 5 Yr Fixed £0 product fee, 95 per cent LTV, Min loan £25k, Max loan £570k will decrease to 4.80 per cent
• 4.60 per cent 5 Yr Fixed £1999 product fee, 85 per cent LTV, Min loan £2m, Max loan £5m will decrease to 4.20 per cent
• 4.12 per cent Green Home 2 Yr Fixed £899 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.02 per cent
• 4.19 per cent Green Home 5 Yr Fixed £899 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.02 per cent

Residential – Remortgage only

• 4.75 per cent 2 Yr Fixed £999 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.39 per cent
• 4.60 per cent 5 Yr Fixed £999 product fee, 85 per cent LTV, Min loan £5k, Max loan £2m will decrease to 4.20 per cent
• 4.70 per cent Great Escape™ 5 Yr Fixed £0 product fee, 85 per cent LTV, Min loan £50k, Max loan £2m will decrease to 4.40 per cent

Residential – Purchase and Remortgage

• 3.97 per cent 2 Yr Fixed £1999 product fee, 70 per cent LTV, Min loan £2m, Max loan £10m will decrease to 3.94 per cent
• 4.07 per cent 2 Yr Fixed £1999 product fee, 75 per cent LTV, Min loan £2m, Max loan £5m will decrease to 4.01 per cent

Existing Customer Reward Range

• 4.47 per cent EMC Reward 2 Yr Fixed £999 product fee, 85 per cent LTV, Min loan £1k, Max loan £2m will decrease to 4.39 per cent
• 4.31 per cent EMC Reward 5 Yr Fixed £999 product fee, 85 per cent LTV, Min loan £1k, Max loan £2m will decrease to 4.20 per cent
• 4.48 per cent EMC Reward 5 Yr Fixed £0 product fee, 85 per cent LTV, Min loan £1k, Max loan £2m will decrease to 4.40 per cent

Major mortgage lenders began cutting rates after the Bank of England’s recent base rate reduction, with tracker deals and standard variable rates (SVRs) moving lower across much of the market.

Banks including Barclays, Lloyds, Halifax, Nationwide and NatWest have all reduced tracker rates by 0.25 percentage points since the start of September.

Some lenders, such as Metro Bank and Danske Bank, implemented tracker rate reductions immediately, while others, such as Virgin Money, will introduce reductions in October.

Many have also lowered SVRs, with Barclays themselves cutting from 7.74 per cent to 7.49 per cent, Halifax and Lloyds trimming to 7.49 per cent and 6 per cent respectively, and Nationwide reducing to 6.74 per cent.

Overall, the widespread reductions mark a shift in the mortgage market, offering some relief to borrowers as competition intensifies and fixed-rate deals fall below 4 per cent.

The Bank of England has held the base rate at 4 per cent, pausing its recent run of cuts. The decision came as inflation remains above target, with CPI at 3.8 per cent in August.

Officials said the UK was "not out of the woods" on inflation, pointing to pressures from food costs and taxes.

Financial analysts expect the next rate cut in April 2026, with the base rate forecast to reach 3.25 per cent by year-end.

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Mortgage holders on tracker and variable deals remain directly exposed to changes in the Bank Rate. Those on fixed deals face higher costs when refinancing, as new products are priced against the Bank’s benchmark.

Savers, however, continue to benefit from higher deposit rates, while businesses face costlier borrowing.

The MPC will meet again on November 6 to decide the next move on interest rates.