Last week Moneyfacts.co.uk reported that the average two year fixed had fallen below 5.00% for the first time since June 2009, but since then rates have fallen further, standing at 4.86% today.
This is the biggest weekly fall since the beginning of the year, when the Bank of England cut bank rate by 0.50% to 1.50%.
The following lenders cut fixed rates last week:
Abbey – selected rates cut by 0.20%
Accord mortgages – rates cut by 0.40%
Alliance & Leicester – selected rates reduced by up to 0.25%
Cheltenham & Gloucester – selected rates cut by 0.10%
first direct – selected rates reduced by 0.05%
Leeds BS – selected rate reduced by 0.26%
Post Office – rates reduced by up to 1.30%
Scottish Widows Bank – rates reduced by up to 0.40%
Yorkshire BS – rates reduced by up to 0.30%.