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Virgin Money, Halifax Cutting Rates

ended 19. January 2026

Both Halifax and Virgin Money have just announced further cuts to their purchase deals, in particular :

As FTBs and Homebuyers are the beneficiaries of these cuts, are more lenders going to target purchase-only deals for the best rates? Will those refinancing or remortgaging miss out? 

Comments Welcome.

5 responses from the Newspage community

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Justin MoyVerified
Managing Director at EHF Mortgages
More rate cuts for home buyers, this definitely shows that the High Street lenders are favouring buyers over those remortgaging with their better deals. It's important to support the property market, but with around 1.8m borrowers looking for a new mortgage deal, they're struggling to find the best deals. Virgin Money has cut its rates by up to 0.24% to bring its range in line with the majority of its high-street competitors' pricing. Let's hope those looking for a new deal see the value soon.
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Michelle LawsonVerified
Director at Lawson Financial
Shaving a shimmer off the rates is always a boost to borrowers which is good news in amongst the gloom. If things escalate further on the world stage we may see some jitters with rates so act now to secure something and a good broker will monitor the rates to make sure consumers get the best they can.
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Dariusz KarpowiczVerified
Director at Albion Financial Advice
Buyers, your moment has arrived. Halifax and Virgin Money are trimming rates again, with cuts up to 0.24% on purchase deals. First time buyers and home movers are clearly the favourites right now as lenders compete for your business.
The High Street is backing buyers over those remortgaging, which is great if you are purchasing but a bit frustrating for the 1.8 million borrowers hunting for a new deal. With global uncertainty still lurking, rates could wobble either way. Lock in now while the going is good, and a decent broker will keep an eye on things to make sure you are not missing out if rates drop further.
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Mark O'ConnorVerified
Mortgage Advisor at Onlinemortgageadvisor.co.uk
When lenders cut rates , most will follow the trend, I do not believe that lenders would want to miss out on remortgage business so would expect lenders to re price their remortgage rates too.

Cutting rates for homemovers and first time buyers can only have a positive impact on the housing market , it all follows the reduction in the base rate from the Bank of England, with that now at levels seen in early 2023 I would expect the trend to continue. This is great news for people looking to move or purchase for the first time in 2026.
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David StirlingVerified
Independent Financial Adviser at Mint Wealth
Rate cuts are always welcome, and these latest deals from Halifax and Virgin Money reinforce a clear theme for 2026, that lenders are targeting new business from first-time buyers and home-movers. With house prices stabilising and buyer demand holding firm, banks are focused on growing market share, pricing purchase mortgages more keenly to win new applications. Purchases typically mean larger loan sizes, longer customer relationships and greater cross-selling opportunities, so it’s little surprise the most competitive rates are being reserved for those actively buying. In short, the lenders are prepared to sacrifice their margins today to secure the next generation of borrowers.