The Telegraph - Britain's biggest lender raises mortgage rates faster than Bank of England

by Aaron Strutt

Jun 08 2022

Homeowners will now pay hundreds of pounds more for new mortgages with Britain's biggest bank after it raised prices days before the Bank of England's next interest rate decision.

Lloyds increased some of its fixed-rate mortgages for new customers by as much as 0.81% while Halifax raised some two-year fixed-rate deals by up to 0.6%.  

Aaron Strutt of Trinity Financial, a mortgage broker, said the best interest rates were disappearing within days as lenders raised prices. He said: "Some of the rate increases are pretty huge. The cheapest two- and five-year fixes are now priced around 2.5pc, but they will almost certainly become more expensive over the coming months. 

"Lenders are constantly changing their rates and they are not waiting for the Bank Rate to increase before they push up their prices. Brokers are telling clients to get the documents we need back as quickly as possible because the rates we have quoted them are unlikely to be around for long."

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