Today, there are 1,541 mortgage products available in the UK, up from 1,302 in April said Moneysupermarket.com.

However, at 95% LTV, the Funding for Lending scheme has produced just seven more products than two months ago, whereas data from Moneyfacts showed 82 more products have been launched at 75% LTV in the last two months.

Since April, there has been a 14% increase in the number of 75% LTV mortgages available, rising from 636 to 725. For 80 per cent LTVs, there has been a 17% increase, from 381 to 446. According to the data, fixed rates are falling where tracker rates are rising.

Two year fixed rates have fallen from 4.21% in April, to 4.05%, against two year tracker mortgages which have risen from 3.58% to 3.74%. However, the fall in fixed rates is being offset by rising fees, where average total fees for a two year fixed mortgage increased from £1,170 to £1,370, which is a 17% increase since April.

Clare Francis, mortgage expert at MoneySupermarket said:

“Attempts by the Bank of England to stimulate the economy to start lending again through its Funding for Lending Scheme, making £80bn of lending available at a low cost to the industry, has spelt some good news for borrowers. Our analysis shows there are now more mortgages available than six months ago, and fixed rates have been falling since April.

“However, this is masking the true picture of the total cost of a mortgage. While fixed rates have come down, arrangement fees have increased, offsetting much of the impact of lower rates, meaning it is not necessarily any cheaper to get a mortgage now, despite the funding initiative. It’s also worth noting that the average rates on tracker mortgages are higher than they were six months ago.”