Here is a full list of the new changes to mortgage rates being introduced by first direct:

Repayment Range – New Business Mortgage Customers

• Two Year Fixed Fee Saver rates at 60 percent, 75 percent, 80 percent, 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.45 percent
• Two Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.30 percent
• Three Year Fixed Fee Saver rates at 60 percent, 75 percent, 80 percent 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.45 percent
• Three Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.20 percent
• Five Year Fixed Fee Saver rates at 60 percent, 80 percent, 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.15 percent
• Five Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.15 percent

Repayment Range – Existing Mortgage Customers

• Two Year Fixed Fee Saver rates at 60 percent, 75 percent, 80 percent, 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.25 percent
• Two Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.25 percent
• Three Year Fixed Fee Saver rates at 60 percent, 75 percent, 80 percent, 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.20 percent
• Three Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.20 percent
• Five Year Fixed Fee Saver rates at 60 percent, 80 pecrent, 85 percent, 90 percent and 95 percent LTV have decreased by up to 0.15 percent
• Five Year Fixed Standard rates at 60 percent, 75 percent, 80 percent, 85 percent and 90 percent LTV have decreased by up to 0.15 percent

Offset Range – Existing Mortgage Customers

• Two Year Fixed Standard rates at 60 percent and 75 percent LTV have decreased by 0.36 percent.

Liam O’Hara, the head of mortgages at first direct, outlined why the bank has opted to slash mortgage rates at this time.

He explained: “There has been a lot of movement in the mortgage market in recent weeks and rates have come down, which is good news for existing and aspiring homeowners.

“In the last three weeks, we’ve carried out two rounds of significant rate reductions, bringing down the cost of borrowing for thousands of our customers as those who have secured a previous rate with first direct can transfer their booking fee to a cheaper product for free.

The mortgage expert went into specifics as to what first direct’s latest round of rate cuts means for different types of homebuyers.

“We now have two dozen products priced under five percent for new customers and existing customers looking to switch, with our cheapest mortgage at 4.64 percent.

“Our biggest rate cuts in the higher LTV space to ensure that those with a smaller deposit have competitive options as they make their first steps onto the ladder.

“To support first-time buyers, we also offer a range of useful features, including unlimited overpayments on all our mortgages, 40-year maximum terms and product booking fees capped at £490.”

It should be noted that first direct mortgages are only available online or over the phone and do not operate through mortgage brokers.