MORTGAGE lenders have raced to slash their rates after the Bank of England cut interest rates to 4.75% this afternoon.

This move will immediately benefit thousands of mortgage customers with Halifax, Lloyds Bank, and Metro Bank, who will see a decrease in their repayment amounts.

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Plus, customers with Barclays, Coventry Building Society, Leeds Building Society, Nationwide, NatWest, Skipton, and Virgin Money can also expect changes in the coming days and weeks.

It comes after several lenders cut their fixed mortgage rates in anticipation of interest rates falling for the second time in four years.

For example, Santander and Accord mortgage cut their fixed-rates by up to 0.36%.

Earlier this afternoon, the Bank of England‘s (BoE) Monetary Policy Committee (MPC) cut the base rate by 0.25 percentage points from 5% to 4.75%.

Lenders use the base rate to set their interest rates for savings and borrowing costs, including mortgages.

This reduction means millions of mortgage holders will see their bills decrease.

The central bank’s decision comes after the Office for National Statistics (ONS) reported that inflation stood at 1.7% in September, well below the BoE’s 2% target.

Interest rates had previously risen from historic lows of 0.1% in December 2021, peaking at 5.25% in July 2023, as part of efforts to reduce inflation to the Bank’s target.

A fall in interest rates usually leads to a decrease in mortgage interest rates.

However, the reduction you’ll see depends on the type of home loan you have.

Those on tracker and standard variable rate (SVR) mortgages typically see an immediate change in payments.

A tracker mortgage is a type of variable mortgage where your monthly payments rise and fall in line with the Bank of England base rate.

With a tracker mortgage, you’ll usually pay the base rate plus an additional percentage in interest each month.

A standard variable rate mortgage is what you revert to once any initial mortgage term ends.

This rate will change in line with the base rate and is usually higher than any initial introductory rate.

There are currently 643,000 customers on tracker mortgages and 624,000 on SVRs.

TotallyMoney states that today’s 0.25% rate cut will immediately save homeowners £32 a month or £382 a year on the average tracker mortgage.

Those on fixed-rate mortgages won’t see any changes until their deals end and they take out a new one.

Even if your lender has cut rates, the date your repayments actually change will depend on when your payment is due.

We’ve listed all the lenders cutting mortgage rates below.

BARCLAYS

All of Barclays’ UK residential and buy-to-let mortgage products are fixed or otherwise track the BoE base rate.

Therefore, whenever the base rate goes up or down, customers on tracker rates will see their interest rate change accordingly.

If you’ve got a tracker or variable rate mortgage with Barclays, your mortgage rate will fall by 0.25% on December 1.

For new customers, the rates will be amended from November 8.

The lender’s fixed-rate mortgages remain unchanged.

COVENTRY BUILDING SOCIETY

Following the Bank of England Base Rate change, all Coventry Building Society mortgages that track the Base Rate will automatically decrease by 0.25%.

This will take effect from 1 December.

The building society said that all the rates offered on its standard variable mortgages are currently under review.

The lender’s fixed-rate mortgages remain unchanged.

HALIFAX

Where a customer has a mortgage that tracks the bank base rate, their rate will be cut with immediate effect in line with their terms and conditions.

The Halifax Homeowner Variable Rate (HVR), currently at 8.49%, will decrease by 25 basis points to 8.24%.

The Halifax Standard Variable Rate (SVR), currently at 8.49%, will also decrease by 25 basis points to 8.24%.

The changes to the SVR rates above will come into effect for existing customer accounts from December 1.

The lender’s fixed-rate mortgages remain unchanged.

LLOYDS BANK

Where a customer has a mortgage that tracks the bank base rate, their rate will be cut with immediate effect in line with their terms and conditions.

The Lloyds Bank Homeowner Variable Rate, currently at 8.49% will decrease by 25 basis points to 8.24%.

The Lloyds Standard Variable Rate, currently at 7.00%, will decrease by 25 basis points to 6.75%.

The changes to the SVR rates above will come into effect for existing customer accounts from December 1.

The lender’s fixed-rate mortgages remain unchanged.

METRO BANK

A Metro Bank spokesperson said: “In line with the Bank of England decreasing the base rate from 5% to 4.75% we’re updating all retail mortgage products that track the Bank of England base rate.

“We are confident that our wide range of mortgages continue to meet our customers’ needs but we encourage anyone who may be worried about their payments to get in touch to discuss their options.”

These changes have come into effect immediately and will be reflected in your next monthly payment on impacted accounts.

Metro Bank said it would formally confirm the changes on its website, and all impacted customers would receive communications about them over the next couple of days.

The lender’s fixed-rate mortgages remain unchanged.

NATIONWIDE

Mortgage customers on Nationwide’s standard mortgage rate (SMR) will decrease by 25 basis points.

The new SMR of 7.49% will come into effect on December 1.

Rates on tracker mortgages held by existing customers automatically decrease when the Bank rate is cut, so these will decrease to reflect the Bank rate change from December 1. 

The lender’s fixed-rate mortgages remain unchanged.

NATWEST

A NatWest spokesperson said: “Following the Bank of England base rate cut, we will be passing on the rate cut in full to our customers on a standard variable rate (SVR) mortgage.

“The SVR will be reduced from 7.99% to 7.74%, effective from December 1.

“SVR customers may also be able to save money by switching to one of our fixed-rate mortgages.”

The lender’s fixed-rate mortgages remain unchanged.

SKIPTON BUILDING SOCIETY

Customers who have mortgages which track the Bank of England base rate will see their account interest rate change in line with their terms and conditions.

For most base rate tracker products, rates will be decreased no later than 14 days from today (November 7).

Skipton’s current, on sale base rate tracker mortgage products will continue to be available until 10pm on Sunday, November 10.

The new rates reflecting the 0.25% Bank of England base rate cut will be available from Monday, November 11.

The lender’s fixed-rate mortgages remain unchanged.

VIRGIN MONEY

Virgin Money is writing to customers who have a mortgage directly linked to the Bank of England base rate to confirm their new monthly mortgage payment and interest rate.

Any new rates set will take effect from January 1.

The lender’s fixed-rate mortgages remain unchanged.

How to get the best deal on your mortgage

IF you’re looking for a traditional type of mortgage, getting the best rates depends entirely on what’s available at any given time.

There are several ways to land the best deal.

Usually the larger the deposit you have the lower the rate you can get.

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If you’re remortgaging and your loan-to-value ratio (LTV) has changed, you’ll get access to better rates than before.

Your LTV will go down if your outstanding mortgage is lower and/or your home’s value is higher.

A change to your credit score or a better salary could also help you access better rates.

And if you’re nearing the end of a fixed deal soon it’s worth looking for new deals now.

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You can lock in current deals sometimes up to six months before your current deal ends.

Leaving a fixed deal early will usually come with an early exit fee, so you want to avoid this extra cost.

But depending on the cost and how much you could save by switching versus sticking, it could be worth paying to leave the deal – but compare the costs first.

To find the best deal use a mortgage comparison tool to see what’s available.

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You can also go to a mortgage broker who can compare a much larger range of deals for you.

Some will charge an extra fee but there are plenty who give advice for free and get paid only on commission from the lender.

You’ll also need to factor in fees for the mortgage, though some have no fees at all.

You can add the fee – sometimes more than £1,000 – to the cost of the mortgage, but be aware that means you’ll pay interest on it and so will cost more in the long term.

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You can use a mortgage calculator to see how much you could borrow.

Remember you’ll have to pass the lender’s strict eligibility criteria too, which will include affordability checks and looking at your credit file.

You may also need to provide documents such as utility bills, proof of benefits, your last three month’s payslips, passports and bank statements.

THE popular Cadbury advent calendars have been slashed to a mere £1.25 at a bargain supermarket.

A savvy chocolate fan shared the bargain find on the popular Extreme Couponing and Bargains UK Facebook group, where users frequently post the best deals they find in stores across the country.

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Iceland shoppers are raving after a country-favourite advent calendar has been slashed to only £1.25.

In their ‘Deal of the Week’, Iceland is offering a buy one get one free deal on their 24-day Cadbury Dairy Milk calendar for £2.50.

This equates to only £1.25 for each calendar.

Comparatively, Aldi are selling the same calendar for £1.99 and Asda for £2.

And on the even pricier side, Sainsbury’s and Ocado have priced the calendar at £2.25.

The shopper’s Facebook post to the UK bargain group received hundreds of likes and comments from fellow chocolate fans.

One user said: “Ooh I need this!”

Another commented: “In-store offer too, I grabbed a few today.”

And: “I got 4 of these today!”

The user who initially made the post was unsure whether it was just online and not in-store.

One commenter said that it was a maximum of six calendars per person in store.

On the calendar’s product information on the Iceland website, it says that prices and promotions may vary for those online.

It’s also recommended to check your local store before visiting.

Elsewhere, B&M shoppers are rushing to buy festive chocolate treats that are perfect for kids’ Christmas Eve boxes.

The bargain retailer’s festive selection box has social media users going wild as they plan ahead for Christmas.

The find was posted on the NewfoodsUK Facebook group and it quickly amassed over 3,000 likes and 1,000 comments.

One user wrote: “I love these and will definitely buy two for my sons’ Christmas Eve boxes. I love creating their boxes.”

Of course, do bear in mind it’s still pretty early in the year and further deals will no doubt be released in the coming weeks.

It always pays to compare prices so you know you’re getting the best deal.

Prices can also vary day to day and by what deals are on at the time, plus remember you might pay for delivery if you’re ordering online.

You can compare prices on platforms like Google Shopping and Trolley.co.uk.

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HUNDREDS of pensioners are set to receive a cost of living payment voucher up to £120 on their doorstep.

For those who need a little bit of help this Christmas, the Household Support Fund offers some assistance to low income households.

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The Household Support Fund is worth £421million and aims to help with gas, electricity, and food during the winter months.

It’ll be split across local authorities that will individually decide who is eligible.

All households issued the support will be offered the vouchers automatically so there’s no need to reach out to the council.

Wakefield Council has set aside some money for pensioners receiving a council tax reduction but not pension credit.

They have recently released the conditions of their eligibility scheme.

To qualify for the voucher from this council you must live in Wakefiel,d be over the age of 16 and not living with family or friends, be responsible for the rent, receive a low income, and have no access to other public funds.

How much will I get?

For pensioners who still receive the Winter Fuel Allowance you should receive £80 worth of supermarket voucher.

This will be issued between November 6 and November 15.

If you are pensioner who no longer gets the Winter Fuel Allowance you could receive a supermarket voucher of £130.

The voucher should also arrive between November 6 and November 15.

For other households in receipt of Council Tax Support there should be £80 heading your way.

This will get to you between December 2 and December 11.

The vouchers should arrive within seven days with a set of instruction of how to redeem it.

What will the fund cover?

The aim of the fund is to support with rising living costs, especially for those who don’t receive other forms of support.

It’ll cover the costs of food, housekeeping and other essential bills like gas and electricity.

Items like clothing can be covered, including school uniforms, and beds and bedding.

It can’t be spent on non-urgent items, cash payments, mortgage costs, or rent.

What if I don’t live in Wakefield?

The Household Support Fund will be accessible all around the country.

The £421million fund budget will be spread across each council but each authority will decide its own eligibility.

Not all councils have published what they plan to do with the Household Support Fund budget yet.

If you’re keen to find out what support is available to you, you can contact your local council and ask if there is any help on offer.

For those unsure which council they should contact, you can find your council area by using the Government’s council locator tool via gov.uk.

The Sun recently shared a guide and interactive map to help you find out what you may be able to claim.

Other help on offer

You might be able to get some support from you energy firm if you haven’t receive a Household Support Fund voucher.

For example, British Gas is handing out up to £1,700 worth of grants to UK households.

This is through the company’s Individual and Families Fund and is accessible to people living in England, Scotland, and Wales – even if you’re not a British Gas customer.

To be eligible to get this support you must have been given help from a money advice agency in the last six months and .

You’ll also need to have not received a grant from The British Gas Energy in the last six months.

Other energy companies have their own support network for customers.

These include OVO, Boost, E.On, E.On Next, EDF, Scottish Power, Octopus, Shell Energy, SSE and Utilita.

How has the Household Support Fund evolved?

The Household Support Fund was first launched in October 2021 to help Brits pay their way through winter amid the cost of living crisis.

Councils up and down the country got a slice of the £421million funding available to dish out to Brits in need.

It was then extended in the 2022 Spring Budget and for a second time in October 2022 to help those on the lowest incomes with the rising cost of living.

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The DWP then confirmed a third extension of the scheme through to March 31, 2024.

Former chancellor Jeremy Hunt extended the HSF for the fourth time while delivering his Spring Budget on March 6, 2024.

In September 2024, the Government announced a fifth extension.

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Sir Keir Starmer may have sent his “hearty” congratulations to Donald Trump on his victory in the US presidential election this week, but there are a number of policy areas where the UK government is poised to clash with the incoming Republican administration.

The prime minister will need to strike a balancing act: maintaining goodwill with the next White House to work together on thorny global issues, while ensuring he does not alienate domestic voters who largely take a dim view of the president-elect.

Whitehall insiders are also bracing for personality clashes, particularly with Elon Musk, who is tipped for a prominent role in Trump’s team and has revelled in using his social media platform to goad Starmer and criticise the UK.

Tariffs

Economists have warned Trump’s threat to impose 10-20 per cent tariffs on all imports into the US — and 60 per cent tariffs on Chinese goods — would hit UK trade and investment.

A sector-by-sector analysis by the Centre for Inclusive Trade Policy at Sussex University forecast Trump tariffs could cause a £22bn annual hit to UK exports, with key sectors such as fishing and petroleum facing sharp declines.

“Most UK industries . . . will face steep challenges if the US goes ahead with the proposed tariffs,” said UKTPO economist Nicolò Tamberi, though he added textiles “may see gains from trade shifts due to reduced Chinese competition in the US market”.

The National Institute of Economic and Social Research said tariffs of 10 per cent would cut forecast GDP growth by 0.8 percentage points next year, and cause a 1.4 percentage point reduction in 2026.

Ahmet Kaya, principal economist at Niesr, said higher prices would hit lower-income households hardest. “Trump’s proposed tariffs would be yet another shock to the UK economy,” he added.

The prospect has sent shockwaves through Whitehall. “This has the potential to be as problematic for us as Brexit,” said one British government figure.

Foreign and defence

Trump has pledged to “end wars”, a noble ambition that poses problems for a world currently enmeshed in multiple conflicts.

The UK’s steadfast support for Ukraine under successive Tory and Labour administrations could be severely undermined by the president-elect, who has indicated his desire for Kyiv to agree a swift deal with Moscow, triggering anxiety about the prospect of him pressing Ukraine to accept terms.

While Starmer has promised the UK will raise defence spending to 2.5 per cent of GDP — compared with 2.3 per cent currently — there are questions over whether European states could provide plug the military and financial gap if the US, which has provided a major proportion, pulls back.

Trump’s position will also have a bearing on Israel’s conflicts with Hamas in Gaza and Hizbollah in Lebanon, although it remains to be seen how much leverage he will have over Israeli Prime Minister Benjamin Netanyahu.

The UK government has increasingly stepped up pressure on Israel to ease the humanitarian crisis in the region and to show restraint towards Iran to avoid spiralling conflict in the region.

Dr Burcu Ozcelik, senior research fellow at the Rusi think-tank, said: “If the election results indicate, at least partially, American voters’ repudiation of the Democratic party’s policies in Gaza and the failure to negotiate a ceasefire deal, it is difficult to see how a Trump administration will pivot to improve the situation.”

Nato

Trump has previously expressed ambivalence about Nato. Any move by him that cast doubt on Article 5 — the principle of collective defence that lies at its heart — could force Britain and Europe to shoulder far more of the burden of securing their own region, above and beyond current planned increases.

While the prime minister would like to focus expenditure on vote-winning areas like the NHS and education, he may yet be forced to pour even more cash into Britain’s armed forces.

Strategic rivalry between the US and China is meanwhile likely to intensify under Trump, which could have consequences for London.

During his first term, Trump pressured Britain to fall into line on Beijing, such as banning technology manufactured by Chinese company Huawei from the UK’s 5G rollout.

Technology

Governments around the world are drawing up rules to govern how AI is developed and used, making the next few years key to the safe rollout of the rapidly-evolving technology.

Trump has said he plans to scrap the Biden administration’s Executive Order on AI — which was tied closely to the UK’s AI Safety Summit last year.

The move would put the US on a collision course with the UK government on regulation, one UK-based technology lobbyist warned. “To me, the downsides are quite significant” for the UK’s role in tech, they added.

Big Tech companies are likely to be emboldened by Trump to fight against European-style regulation of the industry, such as the UK’s Online Safety act and new Digital Markets Unit regulator.

Policing of online activities is an area where Musk, Trump’s top tech industry ally, has already clashed with the UK. The X owner repeatedly likened the UK to the Soviet Union for its policing of offensive speech after far-right riots spread across the country in August.

Climate

An avowed climate change sceptic, Trump promised while campaigning to increase drilling for fossil fuels in the US and vowed to repeal the Inflation Reduction Act, Joe Biden’s flagship legislation to encourage investment in clean energy.

Labour ministers are privately aghast at Trump’s approach to climate change but some believe that Europe could become a relatively more attractive place for low-carbon investment in the coming months.

The Starmer government will pitch Britain as one of the most politically stable countries in the world with a more interventionist approach to green energy than the previous Tory administration.

Trump’s victory will also overshadow the UN COP29 climate talks in petrostate Azerbaijan next week, given the president-elect’s promise to withdraw from the 2015 Paris agreement — as he did during his first term in the White House.

Starmer is attending the COP talks in Baku but other major political figures such as French President Emmanuel Macron and EU president Ursula von der Leyen had already dropped out even before the US election.