Barclays is cutting a number of mortgage rates by up to 0.30 percentage points tomorrow.

It is also introducing a five year fixed rate at 4.89% for those with a smaller deposit of 15% deposit or equity.

The main cuts are of 0.30 percentage points on the Future Fix mortgage for borrowers with a 30% deposit or equity. The tracker element is reducing to base + 2.49% for two years, the three year fixed rate remains at 3.99% following the cut two weeks ago. This comes with a £999 application fee.

Meanwhile, the two year fixed rate mortgage for borrowers with a 40% deposit is reducing from 3.09% to 2.89%. This rate comes with the standard £999 application fee and £499 for customers who qualify for a Barclays loyalty mortgage.

“This is the second time in less than a month that we have made cuts to our mortgages and is due to a highly competitive market with lenders making several reductions in the last few weeks,” said Andy Gray, head of mortgages at Barclays.

“This is great news for borrowers who are getting access to some really low rates. We would encourage people to act now and review their mortgage to see if they stand to save money by remortgaging.

“For those with smaller deposits who need the security of fixing our new five year deal gives consumers purchasing a house or existing borrowers who need to remortgage a great deal. A borrower with a mortgage of £150,000, would pay £867 a month.

“For those with larger deposits, but who are uncertain what to do with the recent speculation over the future direction of base rates, Future Fix could be just the product for them. This provides the flexibility and low cost of tracking base rate now with the certainty of a fixed rate in the future.”