The average mortgage payment on a 90% LTV mortgage is now equivalent to the average rental payment.

The average two-year fix at 60% LTV is now 4.18%, while the five-year equivalent is 4.19%.

The lender has also launched a new £1,000 cashback product.

As part of the changes, all new Virgin Money residential and buy-to-let purchase products now include a free basic valuation.

The Society has reduced rates by up to 0.55%.

Rates have reduced on almost all mortgages in the bank's mortgage ranges.

The lender has reduced rates across its range by up to 0.21%.

However, industry experts believe mortgage rates may remain stubbornly high.

Rates at 85% LTV and above will see reductions up to 25 bps.

Residential fixed rates now start from 5.54%.