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Product launches of the week

Cherry Reynard
Written By:
Cherry Reynard
Posted:
Updated:
02/02/2015

New mortgages, insurance, bank accounts and investments for the week of the 2nd February.

Energy

Sainsbury’s Energy launched two new tariffs: The Fixed Price February 2016 and the Price Freeze February 2016. These offer fixed prices until the end of February 2016. The Sainsbury’s Energy Fixed Price February 2016 tariff will cost the average medium energy use household £922.00 a year.

British Gas launched the Price Promise February 16 tariff. This also offers fixed prices until the 29th of February 2016. The British Gas Price Promise February 2016 tariff will cost the average medium energy use household £1099.00 a year.

SSE became the fifth ‘big six’ energy supplier to reduce its gas prices. The 4.1 per cent cut will come into effect on 30th April and will reduce customers’ annual bills by £28, on average.

EDF finally capitulated on cutting its energy rates, the last of the ‘big six’ suppliers left to do so. The 1.3 per cent cut will come into effect on 11 February and will reduce customers’ annual bills by £9, on average.

Mortgages

NatWest Intermediary Solutions introduced a range of higher fee and lower rate 60 per cent loan-to-value (LTV) mortgage deals across its intermediary range. The new deals will be available from Tuesday 26 January with the maximum loan size set at £750,000. With product fees of £1,495, NatWest will introduce a two-year fixed rate at 1.49 per cent, three-year fixed rate at 1.99 per cent, five-year fixed rate at 2.49 per cent and two-year tracker at 1.39 per cent.

Virgin Money has refreshed rates on a number of its mortgages including cuts to its larger loan product range. The changes are available through all intermediaries registered with a Virgin Money national account. Key changes to its general product range include rates dropped to 2.39 per cent on its two-year fixed rate at 85 per cent with a £995 product fee and £300 cashback, and a two-year fixed rate new build product of 2.34 per cent 85 per cent LTV. Its new build special includes a £995 product fee and £500 cashback.

The intermediary mortgage lender of the Co-operative bank, Platform, has reduced its residential 2 year fixed rate mortgage to 1.59 per cent for loans up to 60 per cent LTV. The group also announced further rate reductions of up to 0.40 per cent across residential 2, 3 and 5 year fixes.

Chelsea Building Society has launched a 1.49 per cent two-year fixed rate mortgage for customers with a 25 per cent deposit. The group also launched a three-year fixed rate of 2.19 per cent, or a 2.74 per cent five-year fixed rate. All of these three mortgages have a £1,545 product fee.

Yorkshire Building Society has launched a two-year 4.49 per cent fixed rate mortgage for borrowers with a 5 per cent deposit, aimed at first time buyers. The mortgage has an £845 product fee. The group’s new range includes a 1.29 per cent two-year fixed rate for customers with a 35 per cent deposit, as well as a new two-year 1.59 per cent fixed rate mortgage with a £345 product fee, which is also for customers with a 65 per cent loan-to-value.

Loans

Sainsbury’s Bank has reduced the rates on its £5,000 – £7,500 loans, which are now available from 4.8 per cent APR for Nectar card holders, effective immediately.

Current accounts

Skipton Building Society has launched a new Limited Edition easy access savings account which pays 1.15 oer cent gross pa/AER. The online-only eSaver account allows customers to benefit from a competitive return with easy access to savings and no limits to the number of withdrawals. Customers can save from £1 up to a maximum of £250,000.

Insurance

Aviva is offering a year of free life cover worth £15,000 to each parent of a child aged under five. Cover is available to both parents for each child registered before their fourth birthday. £15,000 of cover is available for both parents for each child. This could mean cover worth £30,000 for each eligible child if both parents apply.

Investments

J.P. Morgan Asset Management is to launch an onshore version of its Luxembourg-domiciled Global Bond Opportunities fund. The UK-domiciled version of the fund, JPM Global Bond Opportunities, will be co-managed by Nick Gartside, Bob Michele, and Iain Stealey, who also run the offshore fund.

Polar Capital plans to add a second European Income fund to its range. The group launched a European Income fund for former Threadneedle manager Nick Davis in October last year. Due to investor demand from the continent, it was decided the mandate would be pan-European, with around 30 per cent in UK shares.