Abbey reduces mortgage rates

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Abbey has announced reductions to the rates on several of its mortgage products.

The UK lender has cut the rate on a number of its two and three-year fixed deals, as well as some trackers, by up to 0.10 per cent.

It is thought that the changes mean that the company's two-year tracker now has a 75 per cent loan to value with a starting rate of 5.89 per cent, as well as a £995 fee.

Discussing the changes, Abbey's head of mortgages Phil Cliff said: "Market movements and our mortgage strength allow us to make these further rate reductions to benefit our customers."

The lender added that it has unveiled a new line of low-fee mortgages for those wanting to borrow under £150,000.

Abbey previously announced rate cuts to its range of two and three-year fixed rate deals last month.

The company also introduced a new three-year fixed deal with a rate of 5.99 per cent and £1,695 fee at the same time.

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