Barclays is set to launch the market’s cheapest ever 10-year fixed rate.
The product, which launches tomorrow, is being slashed 46 basis points to 2.99 per cent and is available to 60 per cent LTV. A £999 application fee is payable.
Comparison website Moneyfacts.co.uk says the product is the lowest 10-year fixed rate on record.
Barclays managing director for mortgages Andy Gray says: “The new year is traditionally a time to get your finances in order and plan for the year ahead. We are thrilled to be offering a UK first in the shape of our 10-year 2.99 per cent fixed rate.
“We are confident our rates will be extremely appealing.”
The lender will also cut selected residential rates by up to 0.36 per cent.
Trinity Financial product and communications manager Aaron Strutt says: “This is a fantastic rate that adds a whole new level to the ongoing rate war.
“A lot of borrowers feel that fixing their payments for 10 years is a bit too long but at a rate of 2.99 per cent, this could certainly change things.”