PTSB cuts mortgage rates for fourth time with reductions of up to 0.95%

**STRICT EMBARGOE 1pm Sat 14/10/2023**

PTSB has announced "significant" reductions of between 0.15% and 0.95% to its personal fixed-rate mortgage products.

Coming into effect on January 17, the new rates be available to both new and existing personal customers, the lender said on Wednesday.

This is the fourth cut to fixed-rate mortgages that PTSB has announced since December 2023. The bank said these cuts reflect its commitment to providing "strong competition for its mortgage customers."

Rate reductions will apply across all of the fixed-rate terms offered by PTSB, including its two-year, three-year, four-year, five-year and seven-year terms.

The lender's largest reduction of up to 0.95% will apply to its five-year and seven-year fixed-term products, with rates from 3.8% for loan-to-value of 60-80% for mortgages up to €250,000, while certain Green mortgages will see rates cut by up to 0.7%.

It added that the rate cuts will vary depending on the Loan to Value band.

PTSB said its key changes to its standard products are as follows:

• 2-year fixed rates are reducing by up to 0.55% 
• 3-year fixed rates are reducing by up to 0.30% 
• 4-year fixed rates are reducing by up to 0.65% 
• 5-year fixed rates are reducing by up to 0.95%
• 7-year fixed rates are reducing by up to 0.95%

For Green mortgages with an energy rating between A1 and B3, the bank's 3-year fixed rates are reducing by up to 0.25%, with its 5-year fixed rates reducing by up to 0.70%

The rate reductions for each term will vary depending on the LTV band, the lender added. Rates across all fixed terms and LTV bands are reducing with the exception of the 3-year fixed rate (60-80% LTV), which will remain unchanged.

The European Central Bank has cut rates four times since June 2024 in a bid to stabilise its aggressive monetary campaign enacted to curb rising inflation. 

As a result, Irish banks have come under sustained pressure to respond to falling rates, with PTSB's most recent reductions likely to be copied by key rivals. It also comes as Spanish lender Bankinter confirmed the launch of its full banking service here in April, bringing further competition to Ireland's concentrated banking market. 

"We are resolutely committed to competing strongly in the mortgage market," said Dermot Ryan, Head of Bank Products and Pricing Strategy of PTSB.

"The combination of these new, lower rates and the quality of our service and our people demonstrates this commitment and our appetite to drive competition for the benefit of the customers we are here to serve.”