Nationwide has announced that as of tomorrow it will be making reductions to the majority of its fixed rate mortgages by up to 0.20%.

Two-year fixed rate products now start at 1.49% with a £999 fee and 1.89% with no fee. Three-year fixed rate products are available at 1.79% with a £999 fee and 2.09% with no fee, and the five-year fixed rate range starts at 2.14% with a £999 fee and 2.34% with no fee.

Following the 0.25% reduction in the Bank of England Base Rate, existing Nationwide mortgage tracker customers saw the decrease passed on in full. For new customers, from 10 August, rates for the 2 year tracker products will start at 1.29% with a £999 fee and 1.69% with no fee.  

All standard mortgage valuations are also fee-free, while first time buyers receive a £500 cashback to help with the cost of moving.

Existing Nationwide mortgage customers receive a £250 cashback when they take a new mortgage deal, in addition to continuing to benefit from a 0.10% discount on new customer rates.

Henry Jordan, Nationwide’s Head of Mortgages, said: “Following the cut in the Bank of England Base Rate, we have already passed on the benefit in full to those customers on our BMR and SMR rates. Now we are reducing fixed rate deals for those looking for competitive rates and payment security over a wide range of terms and size of deposit.

Standard valuations remain fee-free for all customers and Nationwide main current account customers can access a cashback of £250, both irrespective of which product they choose. For our existing customers, we offer both rates that are always discounted by 0.10% when compared to the new customer rate and a £250 for those mortgage customers moving home or switching to a new product. With the combination of competitive rates and access to additional benefits for both new and existing customers, Nationwide will continue to offer deals that are amongst the best on the high street.”