Irish Nationwide has joined the recent round of mortgage rate reductions that followed the European Central Bank cut last month. It has reduced its rates for new business and existing customers. The variable rate for new business has been cut from 5.99 per cent to 5.74 per cent.

The 0.25 per cent cut, which has been introduced by many lenders, represents a saving of £14 per month on a £100,000 mortgage over 20 years.

Irish Nationwide's one-year fixed rate for new business has been reduced from 5.25 to 4.85 per cent. The five-year fixed rate now stands at 6.25 per cent.