Virgin Money and Skipton Building Society are cutting mortgage rates, making it cheaper to borrow.

Virgin Money, the banking giant, is slashing rates on selected residential and buy-to-let mortgages by up to a hefty 22 basis points. This means lower monthly repayments for borrowers.

Here’s a breakdown of Virgin Money’s reductions:

From 8pm tonight (8th July):

• Buy-to-let fixes with a £995 fee: Rates reduced by up to 22 basis points, starting from 4.74%.
• Buy-to-let fixes (fee-saver options): Rates reduced by up to 17 basis points, starting from 4.97%.
• Buy-to-let product transfer fixes: Rates reduced by up to 20 basis points, starting from 4.49%.

From tomorrow (9th July):

• Exclusive remortgage five-year fixes: Rates reduced by up to 12 basis points, starting from a competitive 4.54%.
• Exclusive buy-to-let fixes (with a 1% fee): Rates reduced by up to 12 basis points, starting from 4.55%.

Skipton Building Society is also joining the mortgage rate cuts, offering reductions of up to 33 basis points on selected fixed-rate mortgages for both home purchases and remortgages. These cuts apply to mortgages with a loan-to-value (LTV) ratio between 60% and 75%.

Here’s what you need to know about Skipton’s reductions:

• Two-year purchase fixes (60% LTV, no fee): Now available at 4.99%, a significant 33 basis point reduction.
• Five-year remortgage fixes (75% LTV, £1295 fee): Now available at a competitive 4.59%, a 12 basis point reduction.
• Two-year remortgage fixes (60% LTV, £495 fee): Now available at 4.99%, a considerable 20 basis point reduction.

These rate cuts from Virgin Money and Skipton Building Society offer a glimmer of hope for borrowers struggling with the increasing cost of living. If you’re looking for a new mortgage or considering remortgaging your current property, now might be the time to explore your options.