Average mortgage rate for two-year fixed deal edges closer to 6%

Nationwide is latest lender to lift cost of deals as borrowers brace for 13th successive Bank of England interest rate rise

The average rate on a new two-year fixed mortgage has edged closer to the 6% threshold, as Nationwide became the latest big lender to push through a significant increase in the cost of its deals.

Borrowers are braced for more pain, with the Bank of England expected to raise rates for the 13th meeting in a row next week. The Bank’s former governor Mark Carney has predicted interest rates would remain high “for the foreseeable future”.