NatWest lifts resi rates by up to 21bps  – Mortgage Strategy

NatWest will raise residential fixed-rate loans for new and existing customers by up to 21 basis points on Friday. 

The high street lender says its new business rates rises cover: 

• Purchase — rate increases of up to 10bps and 20bps on selected two- and five-year deals 
• Remortgage — rate increases of up to 15bps and 21bps on selected two- and five-year deals 
• First-time buyer — rate increases of up to 10bps and 11bps on selected two- and five-year deals 
• Help to Buy shared equity: remortgage — rate increases of up to 10bps and 21bps on selected two- and five-year deals 
• Shared equity: purchase — rate increases of up to 10bps and 20bps on selected two- and five-year deals 
• Green: purchase — rate increase of 10bps and 20bps on selected two- and five-year deals 
• Green: remortgage — rate increase of 10bps and 21bps on selected two- and five-year deals 

Its existing customer rate changes cover: 

• Switcher — rates increases of up to 10bps and 5bps on selected two- and five-year deals 

The bank tells brokers that they must submit applications online for existing deals by 10:30pm on 15 February. 

The move comes as swap rates have risen in recent weeks. 

A two-year Sonia swap was 4.565 % on 13 February, up from 4.092% on 15 January, according to Chatham Financial. Five-year rates have risen to 4.009% from 3.530% over the same period.  

John Charcol head of marketing Nicholas Mendes says: “Unfortunately, this is going to be a consistent theme among high street lenders over the next few weeks.  

“As much as we would all want fixed rates to continue repricing downwards, swaps just don’t allow lenders the room to be able to hold where they currently are. 

“Those who acted last month to secure a deal will no doubt feel an element of relief for acting quickly and not holding out in the hope rates were going to continue repricing downward.”