Skipton Building Society has launched a 10-year fixed rate mortgage at 5.85 per cent.
The product, which reverts to base rate plus 4.45 per cent after the product term, is available up to 85 per cent loan-to-value and has no product fees.
Head of products Kris Brewster says: “We believe that base rate is unlikely to rise until at least next year – and any increases after that will be incremental and slow. This means shorter term fixed and tracker deals might be the most cost effective for some types of borrowers at the moment.
“However, we think longer term fixes like this could offer an important alternative for those who are expecting to remain in their home over the longer term, who prefer to have payment certainty over a fixed term and value long term financial planning.”