Moneyfacts said fixed rate deals have been falling steadily for the past couple of years.

“The cost of funding through the swap rate market has also decreased dramatically, causing a knock-on effect of lenders offering low rates on long-term mortgages,” said Louise Holmes, Moneyfacts spokesperson.

“Interest rates are predicted to stay at the historical low of 0.50% for the foreseeable future. Borrowers would be wise to take advantage of the low mortgage rates, however, as lenders will begin increasing product rates once interest rates rise.”