Santander will cut rates by up to 0.32% across its 85%-95% LTV first-time buyer range from 17 February, as competition intensifies at the higher LTV end of the market.

Santander UK has announced a fresh round of pricing reductions across its higher loan-to-value first-time buyer products, alongside selected cuts for home-movers and large loan customers.

From Tuesday 17 February, all 85%-95% LTV first-time buyer two-year fixed rates will fall by up to 0.23%, with three-year fixes reduced by as much as 0.32% and five-year fixes by up to 0.17%.

Following the changes, first-time buyer rates will start from 3.92%. The lender’s 95% LTV, five-year fixed is priced at 4.72% with no fee, while its 85% LTV, five-year fixed comes in at 4.17% with a £999 fee.

New build first-time buyer exclusives are also included in the repricing. Across the 85% – 95% LTV range, two-year fixed rates will fall by up to 0.23%, three-year fixed rates by up to 0.32% and five-year fixed rates by up to 0.17%, with rates starting from 3.92%.

The newly reduced products will be available to customers applying via broker or directly, in line with Santander’s no dual pricing approach.

David Morris, director of homes at Santander UK, said: “We’re going into 2026 with a renewed focus on supporting first-time buyers in a balanced and responsible way, with recent applications for our newly launched My First Mortgage showing there is real demand in the market for creative support from lenders.

“But we can’t forget the basics, and we’re pleased to introduce this suite of mortgage rate reductions across our range of higher LTV lending, the latest advancement in our goal of helping first-time buyers on their homeownership journey.”

Alongside the higher LTV reductions, Santander is also cutting rates across its home-mover and large loans range, although full details of those changes have not been disclosed.