Nationwide passes on base rate increase

Nationwide Building Society has passed on last week’s Bank base rate increase of 0.25% onto its tracker products.

Nationwide’s base mortgage rate and standard mortgage rate now stand at 2.75% and 4.24% respectively.

Chris Rhodes, executive director of products and propositions at Nationwide Building Society, said: “The sustained low interest rate environment and competition in our core markets will maintain the pressure on margins.

“Despite this pressure, the society is opting to put mutuality ahead of margin. So, while £41bn of society mortgage balances will see an increase as a result of the Bank Rate change, more than £70bn of savings balances will also receive an increase.

“Following these changes, we will continue to offer some of the most competitive savings and mortgage rates on the high street.”