Four mortgage lenders pass on full rate cut

Four of the UK's biggest mortgage lenders today said they would be passing on the latest interest rate cut in full to their variable rate customers.

Lloyds TSB, which also lends under the Cheltenham & Gloucester brand, Nationwide, Halifax and Barclays' lending arm the Woolwich are all reducing their standard variable rate (SVR) by 0.5%.

But as three of the groups pledge that their rate will never be more than a set percentage above the Bank of England base rate, they had little choice but to pass on the cut, while the Woolwich failed to reduce its SVR following January's reduction.