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Nationwide rate changes June 23

ended 08. June 2023

Nationwide has just announced that: "From tomorrow, Friday 9 June, we're making some changes to selected rates across our New Business, Switcher, Additional Borrowing and Existing Customer Moving Home ranges:

  • Selected fixed rates increased by up to 0.25%
  • Selected tracker rates reduced by up to 0.85%

Full details >> here <<. UK newswire, Newspage, sought the views of brokers, below.

3 responses from the Newspage community

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Justin Moy
Managing Director at EHF Mortgages
Inevitable that we would see further increases this week, once the whole market had finished its initial wave of changes. As borrowers (and brokers) move quickly to secure a new deal, that just makes lenders busier and they tactically price themselves out of reach, as well as reflect any wholesale pricing from the market. A more considered approach to rate pulling avoids the mad panic and rush we all feel.
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Graham Cox
Director at Bridging Hub
Every lender is fighting against rising UK gilt yields and swap rates right now, with the latter determining the price lenders pay to borrow on the money markets. Higher borrowing costs for banks and building societies are being passed on as higher mortgage rates. Nationwide's move is probably also a response to their nearest competitor Halifax increasing their rates sharply yesterday. The next inflation figures will be crucial. If core CPI drops, then we could see these recent increases reversed.
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Gary Boakes
Director at Verve Financial
Nationwide was one of the last to increase their rates, so it was always coming. However, with Nationwide their system is great, as along as you reserve the product by 8pm tonight you can submit the case within 90 days, meaning there is no panic getting hold of customers. Don't get me wrong, the 7-hour notice period is not great, but at least their system doesn't mean panic like that involved with HSBC today.