Nationwide Slashes Mortgage Rates as Other Lenders Raise Them Amid Inflation Concerns
Nationwide Building Society has reduced mortgage rates by up to 0.12% across selected two, three, and five year fixed rate products, effective June 5, 2025. The new lowest rate stands at 3.9%, with remortgage rates starting from 3.92%. This move contrasts with other major lenders like Halifax, Accord, and Santander, which have increased their rates due to rising inflation and expectations of fewer Bank of England interest rate cuts .
Nationwide's rate reductions aim to support borro including first-time buyers and home movers. For instance, a two-year fixed rate mortgage with a 40% deposit is now available at 3.9% with a £1,499 fee. In contrast, lenders such as Halifax and Santander have raised their rates, reflecting market forecasts of slower interest rate cuts .
Financial analysts suggest that the recent inflation surge may lead to a slower pace of interest rate cuts, impacting mortgage borrowing rates .
Borrowers are advised to compare mortgage deals and consider locking in rates promptly to secure favorable terms amid the current market volatility.
NRLA Slams Government's Energy Efficiency Targets as 'Unachievable' for Landlords.
The National Residential Landlords Association (NRLA) has criticised the government's energy efficiency plans for private rented homes, labelling them "unachievable." The proposals aim to upgrade approximately 2.5 million rental properties to an Energy Performance Certificate (EPC) rating of at least C by 2030. However, the NRLA argues that the proposed timelines are unrealistic, citing a chronic shortage of skilled tradespeople, with projections indicating a shortfall of 250,000 by 2030. Additionally, the association highlights the lack of a clear funding strategy to support landlords in meeting these requirements.
Leasehold Reform Faces Years of Delay Amid Government Stalls
Progress on leasehold reform in England and Wales remains sluggish, with experts warning that meaningful changes are still years away. Despite the Leasehold and Freehold Reform Act 2024 being passed before the May 2024 general election, its implementation has been hindered by the need for complex secondary legislation and the government's admission of "serious flaws" in the existing framework.
Housing Minister Alex Norris recently confirmed that public consultations required to implement key parts of the Act are still pending, and additional primary legislation may be necessary to address deficiencies. Linz Darlington, founder of leasehold extension specialists Homehold, described the process as "excruciatingly slow," expressing concern that the government's focus is shifting towards transitioning to commonhold, a long-term goal that remains years away from viability.
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