The Co-operative Bank is cutting rates on its five-year fixed mortgages by up to 90 basis points tomorrow (10 November).

Existing current account customers will also benefit from the removal of the £999 arrangement fee on its exclusive five-year fixed product.

Customers with a 25% deposit can now receive a rate of 3.39%, a reduction of 80 basis points. This follows a re-launch of the fixed rate mortgage range on October 14, which saw rates cut by up to 60 basis points.

The Co-operative Bank is also offering a fee-free option at 3.39% for current account customers.

James Hillon, head of mortgages at The Co-operative Bank, said: “With rising living costs leaving many families with less cash to spare each month