Nationwide Building Society Raises Mortgage Rates Amid High Demand, Clydesdale Bank Withdraws Deals Via Brokers

Nationwide Building Society is the latest UK lender to raise mortgage rates, with increases of up to 0.7 percentage points taking effect on Friday.

The changes are being made to ensure the building society can continue to serve all types of borrowers.

Another lender, Clydesdale Bank, has withdrawn deals via brokers due to high demand.

A broker suggests that the market is in a "vicious circle," with lenders putting up rates at short notice and then borrowers grabbing deals, leading to lenders being inundated and having to raise rates again.

The Bank of England's Monetary Policy Committee will review the base rate next week, and it is widely expected to go up for the 13th time in a row.