Barclays has announced it is cutting mortgage rates across its fixed, low loan-to-value (LTV) range, for borrowers with a large deposit or equity stake of at least 40% of the property’s value.

The lender also said that its new “Rate Switch” products for existing customers would allow Barclays Mortgage customers to switch to these lowest rates.

The new two, three, five and 10-year rates include a two-year fixed rate at 1.35%, with a 60% LTV for remortgage and rate switch, and a five-year fixed rate at 2.14%, also with a 60% LTV, which is only available for remortgage.

Craig Calder, director of mortgages for Barclays, said: “These changes to our fixed range of mortgage products demonstrates that Barclays, as a responsible lender, is continuing to offer home buyers and movers with even more choice, all supported by robust lending criteria.”

The cuts come as the financial markets have priced in a potential interest rate cut by the Bank of England as early as next week.