is cutting some rates below 4% starting Friday as fixed-rate offers fall more widely across the market. From tomorrow, the bank will offer a two-year fixed-rate mortgage at 3.99%, down from 4.11%. This deal is available to homebuyers with a 40% deposit and a fee of £899.

A five-year fixed-rate mortgage at 3.99% will also be available to borrowers with a 40% deposit, reduced from 4.12%, with a fee of £899. Barclays Premier customers with a 40% deposit will also benefit from some mortgage rate reductions. A two-year fixed-rate will drop from 4.10% to 3.98%, with a £899 fee. The five-year Premier mortgage rate will also fall from 4.11% to 3.98%, with a £899 fee. Meanwhile, the three-year Premier deal will decrease from 4.32% to 3.99%, with a £999 fee.

To join Barclays Premier, individuals must open a Premier current account. Eligibility requires a gross annual income of at least £75,000 or a total balance of at least £100,000 in savings or investments with Barclays UK, or a combination of both.

Global economic volatility following US President Donald Trump's unveiling of tariffs has boosted analysts' expectations that the Bank of England will respond with interest rate cuts.

Hina Bhudia, a partner at Knight Frank Finance, said: "Even with the president's 90-day reprieve, risks to the growth outlook have clearly risen in the past four weeks. Swap rates (which are used by lenders to price mortgages) have come down during that period to reflect the possibility that the Bank of England cuts rates at least two times, and very likely three times before the year is out."

Ian Futcher, a financial planner at wealth manager Quilter, said: "As swap rates have dropped, some lenders have moved to cut mortgage rates, with more likely to follow if market conditions persist. Homeowners with variable or tracker deals could benefit further should the Bank of England act."

According to financial information website Moneyfacts, the average two-year fixed-rate homeowner mortgage rate on the market on Thursday morning was 5.29%, down from 5.30% on Wednesday.

The average five-year fixed homeowner mortgage rate on the market on Thursday morning was 5.14%, down from 5.15% on Wednesday.

Earlier this week, Coventry Building Society's broker arm, Coventry for Intermediaries, launched a two-year fixed-rate mortgage at 3.89% for borrowers with a 35% deposit with a £999 fee.