Barclays Announces Reduced Mortgage Rates on Purchase Products – September 2025 Update

Barclays Mortgage Rate Cuts: What Borrowers Need to Know

Barclays Mortgages has announced a new round of rate reductions across several of its core purchase mortgage products, effective from Wednesday 17 September 2025. These changes are set to offer more competitive options for homebuyers and existing homeowners seeking to move or secure favourable borrowing terms with a leading UK lender.

Headline Rate Reductions – September 2025

The latest Barclays product update introduces lower fixed rates on a selection of popular two-year and five-year fixed mortgages. Below is a summary of the most notable changes, effective from 17 September 2025:

• 2 Year Fixed (85% LTV, £899 fee): Rate drops from 4.22% to 4.14%. Loan size £5,000 to £2 million.
• 2 Year Fixed (90% LTV, £0 fee): Rate drops from 4.97% to 4.53%. Loan size £5,000 to £640,000.
• 5 Year Fixed (90% LTV, £899 fee): Rate drops from 4.56% to 4.44%. Loan size £5,000 to £640,000.
• 5 Year Fixed (95% LTV, £0 fee): Rate drops from 4.90% to 4.87%. Loan size £25,000 to £570,000.

These reductions reflect Barclays’ ongoing commitment to supporting UK homebuyers and making property ownership more affordable with some of the best mortgage rates UK currently available for higher loan-to-value (LTV) products.

How the Changes Affect UK Borrowers

• First-Time Buyers: Lower rates at 90% and 95% LTV mean smaller deposits unlock access to attractive fixed deals—ideal for those taking their first step onto the property ladder.
• Home Movers: Flexible maximum loan sizes up to £2 million (85% LTV) benefit those upgrading or relocating, while reduced rates help manage monthly repayments.
• Applicants seeking low up-front costs: Fee-free options at 90% and 95% LTV are particularly valuable for buyers preferring to minimise initial outlays.

With a wide range of loan amounts, Barclays’ latest update caters to a broad spectrum of borrower needs and financial scenarios.

Who Is Most Likely to Benefit? Key Scenarios

• Prospective buyers with a 5% – 15% deposit; especially those looking for family homes or taking their first step onto the property ladder.
• Borrowers prioritising fixed-rate security: Locking in lower monthly payments for two or five years provides peace of mind amid uncertain economic conditions.
• Applicants looking to remortgage to a better rate: While these specific products are mainly for purchases, comparing options can reveal competitive remortgage deals, too.

Why Choose Barclays as Your Mortgage Lender?

• Reputation: Barclays is a leading high street bank with established processes and reliable support for homebuyers across the UK.
• Flexibility: Wide range of loan sizes and LTVs to suit various borrower circumstances—including first-time buyers, movers, and those with smaller deposits.
• Competitive prices: The updated rates make Barclays especially appealing for those seeking first-time buyer mortgages UK and remortgage rates UK at higher LTVs.
• Transparent fees: Select from fee-paying or fee-free options to match your upfront budget and long-term goals.

What Should You Do Next?

If you are considering buying a home, remortgaging, or are unsure how the latest Barclays lending updates affect you, contact our expert mortgage advisers today. We offer free, no-obligation consultations to help you compare rates across multiple lenders and find the right solution for your goals. Act quickly—mortgage rates and criteria are subject to change.

Frequently Asked Questions

• Who can qualify for the new Barclays fixed-rate products?Eligibility is based on loan-to-value (LTV), loan size, credit history, and affordability. First-time buyers and movers with a 5–15% deposit usually benefit most from these rate reductions.
• How do these mortgage rate changes impact my monthly repayments?Lower rates can reduce your monthly repayments, improving overall affordability—especially at higher LTVs. Individual impact depends on loan amount and product selection.
• Are these Barclays mortgages suitable for remortgage applicants?These rates primarily apply to home purchase mortgages, but Barclays also offers remortgage options. Speak with us for tailored remortgage advice.
• What fees apply to these Barclays mortgage products?Some products feature a £899 product fee, while others have no fee. Choose the option that best fits your budget and financial planning.
• How can I apply or check my eligibility?Contact our team for a full eligibility assessment and to discuss whether Barclays’ new rates are right for you. We provide tailored, FCA-regulated advice.