Mortgage price war heats up as Barclays cuts interest rates across 40 deals – full list of products

Buy-to-let rates are seeing particularly sharp cuts, with some products falling by up to 50 basis points.

The bank's existing customer reward range is also benefiting from rate reductions, with cuts spanning two-year and five-year fixed products across various loan-to-value ratios.

These latest reductions follow similar moves by NatWest, HSBC, Halifax, Santander and Nationwide, marking an escalation in competitive pricing strategies across the mortgage market.

NatWest and HSBC have both announced fresh rate reductions taking effect from Tuesday, marking the second round of cuts within a single week for these major lenders.

HSBC had previously cut rates on July 1 as part of widespread market changes, whilst Halifax, Barclays, Santander and Nationwide also implemented rate reductions on their home loans last week.

The rapid succession of cuts represents an unusual pattern in mortgage pricing, with lenders typically spacing such adjustments over longer periods. Both banks are joining an increasingly crowded field of competitors all vying for market share through aggressive rate positioning.

This wave of reductions follows the initial cuts implemented across the sector just days earlier, suggesting sustained downward pressure on mortgage pricing as lenders respond to changing market conditions.

Mortgage experts have described the twice-weekly rate cuts as highly unusual, highlighting lenders' determination to secure business in the current market.

Aaron Strutt of brokers Trinity Financial said: "It is not that common for lenders to lower their rates twice in a week, so it shows how keen they are to do business at the moment."

Strutt suggested that banks and building societies are anticipating a reduction in property purchases, which he noted "certainly isn't helped by the current stamp duty levels".

However, he expects increased remortgage activity as borrowers switch providers to secure better deals or access additional borrowing.

Barclays has announced rate reductions across a wide range of mortgage products, covering residential, large loans, buy-to-let, and reward deals. Here's the full list for easy reference:

New Products

Residential – Purchase Only:

• 4.04 per cent 3 Year Fixed, £0 product fee, 60 per cent LTV, Min loan £5k, Max loan £2m
• 4.09 per cent 3 Year Fixed, £899 product fee, 75 per cent LTV, Min loan £5k, Max loan £2m

Existing Customer Reward Residential:

• 3.92 per cent EMC Reward 5 Year Fixed, £999 product fee, 60 per cent LTV, Min loan £1k, Max loan £2m

Existing Product Decreases

Residential – Remortgage Only:

• 5.19 per cent 2 Year Fixed, £999 product fee, 85 per cent LTV, will decrease to 4.67 per cent
• 4.97 per cent 5 Year Fixed, £999 product fee, 85 per cent LTV, will decrease to 4.52 per cent
• 5.07 per cent Great Escape™ 5 Year Fixed, £0 product fee, 85 per cent LTV, will decrease to 4.62 per cent

Residential – Large Loans:

• 4.21 per cent 2 Year Fixed, £1,999 product fee, 60 per cent LTV, will decrease to 3.91 per cent
• 4.36 per cent 2 Year Fixed, £1,999 product fee, 70 per cent LTV, will decrease to 4.03 per cent
• 4.52 per cent 2 Year Fixed, £1,999 product fee, 75 per cent LTV, will decrease to 4.14 per cent
• 4.09 per cent 5 Year Fixed, £1,999 product fee, 60 per cent LTV, will decrease to 3.99 per cent
• 4.15 per cent 5 Year Fixed, £1,999 product fee, 70 per cent LTV, will decrease to 4.06 per cent
• 4.20 per cent 5 Year Fixed, £1,999 product fee, 75 per cent LTV, will decrease to 4.12 per cent
• 4.63 per cent 5 Year Fixed, £1,999 product fee, 85 per cent LTV, will decrease to 4.52 per cent

Buy To Let:

• 4.85 per cent 2 Year Fixed, £2,495 product fee, 60 per cent LTV, will decrease to 4.35 per cent
• 4.65 per cent 5 Year Fixed, £2,495 product fee, 60 per cent LTV, will decrease to 4.15 per cent
• 5.08 per cent 2 Year Fixed Purchase Only, £1,295 product fee, 75 per cent LTV, will decrease to 4.58 per cent
• 4.52 per cent 5 Year Fixed Purchase Only, £1,295 product fee, 75 per cent LTV, will decrease to 4.15 per cent
• 4.85 per cent 2 Year Fixed Remortgage Only, £0 product fee, 60 per cent LTV, will decrease to 4.65 per cent
• 4.71 per cent 2 Year Fixed Remortgage Only, £1,795 product fee, 75 per cent LTV, will decrease to 4.22 per cent
• 4.42 per cent 5 Year Fixed Remortgage Only, £0 product fee, 60 per cent LTV, will decrease to 4.33 per cent
• 4.26 per cent 5 Year Fixed Remortgage Only, £1,795 product fee, 75 per cent LTV, will decrease to 4.17 per cent
• 4.64 per cent 5 Year Fixed Remortgage Only, £0 product fee, 75 per cent LTV, will decrease to 4.50 per cent
• 4.71 per cent 2 Year Fixed Portfolio, £2,495 product fee, 75 per cent LTV, will decrease to 4.22 per cent
• 4.98 per cent Green Home BTL 2 Year Fixed, £1,295 product fee, 75 per cent LTV, will decrease to 4.48 per cent
• 4.42 per cent Green Home BTL 5 Year Fixed, £1,295 product fee, 75 per cent LTV, will decrease to 4.05 per cent

Existing Customer Reward Residential:

• 3.98 per cent EMC Reward 3 Year Fixed, £999 product fee, 60 per cent LTV, will decrease to 3.95 per cent
• 4.13 per cent EMC Reward 3 Year Fixed, £999 product fee, 75 per cent LTV, will decrease to 4.10 per cent

Existing Customer Reward Large Loans:

• 4.20 per cent EMC Reward 2 Year Fixed, £1,999 product fee, 70 per cent LTV, will decrease to 3.91 per cent
• 4.05 per cent EMC Reward 5 Year Fixed, £1,999 product fee, 70 per cent LTV, will decrease to 3.99 per cent
• 4.29 per cent Rate Switch EMC Reward 2 Year Fixed, £1,999 product fee, Over 70 per cent LTV, will decrease to 4.03 per cent
• 4.10 per cent Rate Switch EMC Reward 5 Year Fixed, £1,999 product fee, Over 70 per cent LTV, will decrease to 4.06 per cent

Existing Customer Reward Buy To Let:

• 4.40 per cent EMC Reward BTL 2 Year Fixed, £1,795 product fee, 65 per cent LTV, will decrease to 4.10 per cent
• 4.78 per cent EMC Reward BTL 2 Year Fixed, £0 product fee, 65 per cent LTV, will decrease to 4.48 per cent
• 4.55 per cent EMC Reward BTL 2 Year Fixed, £1,795 product fee, 75 per cent LTV, will decrease to 4.15 per cent
• 5.05 per cent EMC Reward BTL 2 Year Fixed, £0 product fee, 75 per cent LTV, will decrease to 4.52 per cent
• 4.25 per cent EMC Reward BTL 5 Year Fixed, £1,795 product fee, 65 per cent LTV, will decrease to 4.08 per cent
• 4.42 per cent EMC Reward BTL 5 Year Fixed, £0 product fee, 65 per cent LTV, will decrease to 4.30 per cent
• 4.26 per cent EMC Reward BTL 5 Year Fixed, £1,795 product fee, 75 per cent LTV, will decrease to 4.13 per cent
• 4.64 per cent EMC Reward BTL 5 Year Fixed, £0 product fee, 75 per cent LTV, will decrease to 4.49 per cent
• 5.64 per cent EMC Reward BTL 2 Year Fixed, £0 product fee, Over 75 per cent LTV, will decrease to 5.10 per cent
• 4.99 per cent EMC Reward BTL 5 Year Fixed, £0 product fee, Over 75 per cent LTV, will decrease to 4.73 per cent
• 4.85 per cent EMC Reward BTL 2 Year Fixed, £1,795 product fee, 60 per cent LTV, will decrease to 4.35 per cent
• 4.65 per cent EMC Reward BTL 5 Year Fixed, £1,795 product fee, 60 per cent LTV, will decrease to 4.15 per cent

The competitive environment has prompted some lenders to make multiple adjustments within short timeframes as they compete for customers in an increasingly challenging market.

Falling swap rates, which represent the rates at which banks lend to one another and serve as a major determinant of mortgage pricing, have declined in recent weeks, providing lenders with greater scope to reduce costs for households.

These rates typically follow long-term predictions for the Bank of England base rate's future direction.

Bank of England Governor Andrew Bailey has appeared to confirm that further cuts to the base rate are expected later this year. Speaking to CNBC last Tuesday, Bailey said: "I think that the path of interest rates will continue to be gradually downwards. I haven't changed my mind on that."

While Bailey stopped short of confirming an August cut, economists have interpreted his remarks as a strong indication that a reduction is likely. Interest rates currently sit at 4.25 per cent, with markets increasingly pricing in two quarter-point cuts by year-end.

Industry observers expect the competitive rate reductions to continue as banks prepare to sacrifice margins in their battle for customers. Nick Mendes of John Charcol brokers described the cuts as a continuation of a "price war" that appears to be occurring across the sector.

Mendes anticipated further repricing from some banks later this week, stating: "There's still room for rates to fall further. The key question now is how quickly others follow HSBC's lead, and how much margin they're prepared to sacrifice to stay competitive."

Some brokers suggest that rate reductions from individual lenders could prompt other providers to drop their rates in response to maintain competitiveness. However, experts have stressed that many of the improvements remain incremental rather than dramatic, with larger cuts typically reserved for lower-risk borrowers with substantial deposits or equity.