Borrowers on SVRs overpaying: Moneyfacts

While some borrowers benefit from the cut in base rate being passed on in full, others have not been so fortunate, with a difference of £5,670 between the cheapest and the most expensive lenders.

Many lenders' standard variable rates (SVRs) have become disjointed from the bank base rate (BBR) as only a fraction of the cuts are being passed on.

The financial information provider has warned that borrowers, who may be in difficult circumstances, are paying too much if they are on SVRs.

Michelle Slade, spokesperson for Moneyfacts, said: "Some borrowers on SVR may have paid more than double for the same mortgage than if they had been with a different lender. Those that have remained on the highest SVRs are likely to be those with little equity, which diminishes their options.

"When a base rate increase becomes more probable, we may see fixed rates start to rise. Borrowers who delay the decision to find a new deal may find they experience a more significant rise in their repayments when they do move," she added.