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Santander Making Selected Fixed & Tracker Rate Cuts

ended 21. May 2026

On Friday, the 22nd of May, Santander is reducing selected residential and buy-to-let rates. The changes are as follows:-

New business

Fixed rate reductions

  • FTB inc. new build - selected 85%, 90% and 95% LTV fixed rates reducing by up to 0.23%. Our My First Mortgage fixed rate isn’t changing.
  • Home mover inc. new build and large loans - selected 2 year and all 3 and 5 year fixed rates reducing by up to 0.24%.
  • Remo inc. large loans - all fixed rates reducing by up to 0.25%.
  • BTL remo - all fixed rates reducing by up to 0.10%.

Tracker rate reductions

  • FTB inc. new build - all 90% LTV 2 year tracker rates reducing by 0.10%.
  • Home mover inc. new build and large loans - all 2 year tracker rates reducing by up to 0.19%.
  • Remo inc. large loans - all 2 year tracker rates reducing by up to 0.27%.

   

Product withdrawals

  • FTB inc. new build - all 60% and most 75% LTV fixed and tracker rates.

Product Transfers

Fixed rate reductions

  • Residential - most 2, 3, 5 and 7 year fixed rates reducing by up to 0.22%.
  • BTL - all 60% and 75% LTV 2 and 5 year fixed rates reducing by up to 0.10%.

    How will these reductions help the market in light of recent housing data? With big reductions in SONIA swap rates today will more lenders follow?
 
 

7 responses from the Newspage community

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Editor
Riz Malik
Independent Financial Adviser at R3 Wealth
These are some decent reductions from Santander, and there have also been favourable movements in the financial markets that impact fixed-rate pricing. Every little helps at the moment for those looking to move or refinance their existing borrowing. It's also good to see reductions in trackers as well as fixed rates.
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David Stirling
Independent Financial Adviser at Mint Wealth
Santander has done the unthinkable and actually cut its mortgage rates, putting it firmly at odds with the prevailing mood on the high street. NatWest spent the morning hiking rates across its full product range, while the Bank of England sits on its hands at 3.75% muttering ominously about rate rises to come, the market is doing its level best to make homeownership feel like a punishment. Santander's cuts are a rare flash of good news. Just don't expect it to last.
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Aaron Strutt
Product and Communications Director at Trinity Financial
Santander’s latest price improvements are good news especially as the lender reduced many of its mortgage rates by 0.2% just over a week ago. Even though Santander’s rates are reasonably priced Nationwide’s lowest two-year fixes start from 4.35% and its five-year fixes from 4.44%. If Santander wants to get more business it probably realizes its rates need to come down a bit because of the increasing levels of competition between the major lenders. Halifax and Barclays still have sub-4% trackers. Even with the generally poor economic news and global instability there is still a fairly strong demand for property and mortgages. There were expectations that rates were going to rise in recent weeks, but the opposite has happened. Mortgages have got cheaper and they look better value for money, although NatWest has pushed up some of its rates. Email below. More of our clients are taking trackers because they expect the base rate will have to come back down over the near term, but fixes are g
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Editor
Ken James
Director at Contractor Mortgage Services
It’s hard enough for us mortgage brokers to keep up so imagine how confusing this yo‑yo market must feel for anyone trying to buy right now. Santander has announced fresh rate reductions, while at the same time other lenders are pulling products entirely because funding costs are swinging all over the place. The contrast is huge, and the volatility is real. We are seeing reducing swap rates, which is a genuinely positive sign and could help drive further cuts. But the honest truth is we simply can’t say whether this trend will last the market is moving too fast for anyone to call it with confidence. What does the future hold? No one knows and that includes the professionals who live and breathe this every day.
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Editor
Martin Rayner
Financial Adviser at Compton Financial Services
Swap rates may be moving around a lot, but lenders do not price mortgages on swaps alone. Business levels matter just as much.

If a lender needs applications, rates come down. If they become too busy, rates can rise quickly to slow demand and protect turnaround times.

Markets are extremely sensitive at the moment. Political uncertainty, global tensions and UK economic data are all creating volatility, which makes predicting the next movement in swap rates very difficult.

That does still increase the chances of more lenders adjusting rates over the coming weeks.

If you are remortgaging, secure a deal as early as possible, ideally up to 6 months before your current rate ends.

You can normally switch to a lower rate later if the market improves further.

Secure the safety net first. Then benefit from any reductions afterwards.
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Editor
Shaun Sturgess
Director at Sturgess Mortgage Solutions
A big lender cutting rates is great news but there's a risk some borrowers will believe rates will continue to edge down, especially given that Wednesday's inflation data fell more sharply than expected. The inflation data is a wolf in sheep's clothing for borrowers, as it masks the full impact of the fuel crisis caused by events in the Middle East and the fact that inflation could rise sharply over the summer. That could send rates higher rather than lower.
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Omer Mehmet
Managing Director at Trinity Finance
It's hard for anyone to know where rates are going right now. This week we've had one major high street lender, NatWest, raise rates while another has brought them down. The lower rates that many borrowers are holding out for are by no means guaranteed.