MPowered Mortgages has cut its two and three-year fixed-rate mortgages.

The changes are applicable to new purchase customers.

Two-year purchase fixed rates now start at 4.29% (down from 4.34%) at 60% LTV, with £999 fee and at 4.53% (down from 4.59%) with no fee.

Meanwhile, three-year purchase fixed rates now start at 4.12% (down from 4.14%) at 60% LTV with a £999 fee and 4.28% (down from 4.29%) with no fee.

Stuart Cheetham, CEO of MPowered Mortgages, said: “Since the news on inflation last week, we’ve seen swap rates return to a lower level to what we saw before, giving a more positive outlook for borrowers.

“The good news is that falling swap rates mean lenders can reduce mortgage rates, as we are doing today, which will be welcome news for borrowers especially given the upcoming stamp duty changes.

“That said, borrowers should always seek independent financial advice as the lowest rate is not always the best deal for them based on their individual circumstances.”