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"HSBC is determined to start the year with a bang" as it announces rate cuts across the board

Journalist: Justin Moy, Contributing Editor

ended 03. January 2025

HSBC is the latest high street lender to announce a wave of fixed rate cuts as competition heats up on the High Street. There are no specific rates as yet, but they all point downward from Monday 6th January and brokers believe more lenders will now follow suit. Their views are below.

8 responses from the Newspage community

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Stephen Perkins
Managing Director at Yellow Brick Mortgages
While many New Year fireworks displays were cancelled due to the weather, HSBC is determined to start the year with a bang. The forthcoming rate cuts send a message to the market that HSBC is going to push for increased market share in 2025. The good news for borrowers is this should see increased competition and further rate cuts over the coming weeks. Other lenders will almost certainly follow suit.
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Tony Castle
Managing Director at PFG Mortgages
This is great news for homeowners and potential buyers. HSBC have kicked off the New Year with a lot of rate reductions adding to expectations that January could be a great month for anyone refinancing or taking out a new mortgage. This is how we were hoping the month would start.
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Katy Eatenton
Mortgage & Protection Specialist at Eatenton Finance
HSBC clearly mean business and that's good news for borrowers as the New Year begins in earnest. December was an exceptionally busy month and that looks set to continue into January as lenders battle for market share. Borrowers look set to benefit.
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Justin Moy
Managing Director at EHF Mortgages
Though we won't know the exact rates until Monday, seeing such a comprehensive list of rate cuts can only be good news for borrowers and buyers, and will leave other lenders no alternative but to follow. January is a key month for lenders to grab business, and HSBC has shown its hand early on in the month.
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Ranald Mitchell
Director at bad credit mortgage specialists Charwin Mortgages
HSBC’s announcement of fixed rate cuts from 6th January signals the start of what is shaping up to be a highly competitive mortgage market. While specific rates are yet to be disclosed, the downward trend is clear and presents an early opportunity for borrowers to secure favourable deals. Lenders typically push hard in the first months of the year to capture market share, and we saw a similar surge last year before competition tapered off. The key question for 2025 is whether this momentum will sustain or fade, with several base rate cuts expected, too. For borrowers, acting early could be the difference between securing a great deal and missing out.
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Riz Malik
Independent Financial Adviser at R3 Wealth
HSBC rate cuts will be welcomed by borrowers looking to purchase and refinance and next week should see more rate reductions from major market players. However, don't expect massive cuts, and be wary that lenders may pull market-leading rates at short notice.
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David Stirling
Independent Financial Adviser at Mint Wealth
This is fantastic news for borrowers, as HSBC follows Halifax and Leeds making cuts and taking a broad swipe at their rates across the board. The other banks will be keeping a close eye on each other this month and making repeated changes to their product offerings. Borrowers should keep alert as January will likely be a rollercoaster of rate cuts.
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Elliott Culley
Director at Switch Mortgage Finance
HSBC follow in the footsteps of other lenders and do not want to be left out in the cold when it comes to rate reductions. HSBC have gone one step further as they are reducing rates across the whole range including remortgages and purchases. This is a positive sign for borrowers and first-time buyers and hopefully more lenders will follow suit.