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The changes, effective today (16 May), have also seen fixed-rate products in Abbey's 75 per cent loan-to-value (LTV) range reduced by up to 0.17 per cent.

The reductions have been made to the two-year, three-year and five-year fixed rate products at 75 per cent LTV, both for homebuyers and remortgage customers.

For example, the interest rate on Abbey's five-year 75 per cent LTV fixed mortgage is now 5.75 per cent.

A spokesperson for Abbey Mortgages said: "Our focus is to provide all of our customers with value and choice, whilst continuing to review our mortgage range and rates against a competitive and dynamic market.

"As such, we have taken the opportunity to reduce rates to a small number of fixed and tracker products within our range.

"Over the last two years, we have been carefully maintaining a balance between the profitability of new business, prudent lending criteria and our market share aspirations.

"Whilst current market conditions remain challenging, this sensible approach to risk has proved very resilient and allows us to reward lower fixed-rate LTV business with competitive rates."

Some of the new rates, all at 75 per cent LTV, are:

- two-year fixed 5.95 per cent with £995 fee

- two-year tracker at 5.97 per cent with £999 fee

- three-year fixed at 5.87 per cent with £999 fee

- five-year fixed at 5.75 per cent with £1,499 fee