Millions of homeowners should benefit from Thursday’s 1.5 percentage point cut in UK base rates – but they are unlikely to receive the full amount as lenders resist mounting pressure to pass it all on.

Over four million homeowners on tracker rate mortgages, where rates are tied to the Bank of England base rate, face immediate relief. But there are fears that the cut – even such a bold one – may not be passed on in full to home owners looking to take out a new deal.