Further ECB rate cut expected this summer

Tracker mortage holders could be set for another rate cut this summer.

A report in today’s Irish Independent claims that the European Central Bank will be forced to reduce its key lending rate in June.

That will mean cheaper repayments for the 375,000 people who have a tracker.

The ECB rate currently stands at a record low of 0.25% but is expected to fall to 0.1% in June.

While the move would not impact those on variable rates, it would be difficult for mortgages to increase those rates if there was another ECB reduction.