{"id":174842,"date":"2025-12-09T04:58:07","date_gmt":"2025-12-09T04:58:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/174842\/"},"modified":"2025-12-09T04:58:07","modified_gmt":"2025-12-09T04:58:07","slug":"westpac-lifts-longer-term-mortgage-and-term-deposit-rates-by-whopping-30-basis-points","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/174842\/","title":{"rendered":"Westpac lifts longer-term mortgage and term deposit rates by whopping 30 basis points"},"content":{"rendered":"

Indeed, Westpac said wholesale rate rises were behind its decision to lift its two-, three-, four- and five-year fixed mortgage rates by 30bps.<\/p>\n

To offset this a little, it said it would cut its six-month advertised special rate by 20bps to 4.69% per annum \u2013 the lowest of the five biggest banks.<\/p>\n

The OCR tends to affect banks\u2019 shorter-term rates, while wholesale markets influence their longer-term rates. <\/p>\n

Westpac is also lifting its two- to five-year term deposit and PIE fund rates by 30bps and its 12- and 18-month rates by 10bps. <\/p>\n

The new Reserve Bank Governor Dr Anna Breman will have an opportunity to try to talk the market down – should she wish to do so – when she speaks to media over a breakfast on Wednesday morning.<\/p>\n

The former interim Governor, Christian Hawkesby, declined this opportunity<\/a> when the Herald interviewed him the day after the bank released its Monetary Policy Statement a fortnight ago and swap rates went in the opposite direction to the OCR.<\/p>\n

Some commentators accused the Reserve Bank of bungling its communications<\/a> at the time.<\/p>\n

They were of the view mortgage rates needed to remain low to stimulate the sluggish economy.<\/p>\n

They feared the market\u2019s response would stymie the economic recovery.<\/p>\n

The Reserve Bank is next due to review the OCR on February 18.<\/p>\n

Westpac\u2019s rate changes will take effect on Wednesday.<\/p>\n

Jen\u00e9e Tibshraeny is the Herald\u2019s Wellington business editor, based in the parliamentary press gallery. She specialises in government and Reserve Bank policymaking, economics and banking.<\/p>\n

Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our Business newsletter<\/a> \u2013 your essential weekly round-up of all the business news you need.<\/p>\n","protected":false},"excerpt":{"rendered":"Indeed, Westpac said wholesale rate rises were behind its decision to lift its two-, three-, four- and five-year…\n","protected":false},"author":2,"featured_media":174843,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[3589,95,1643,53669,138,3595,6932,18692,20392,112321,8498,33525,25902,25619,77386,225,16400,111,139,12885,69,5908,44625,19257,7676,10665,37882,1335,1237,17239,73780],"class_list":["post-174842","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-3589","tag-and","tag-bank","tag-basis","tag-business","tag-by","tag-cash","tag-cutting","tag-deposit","tag-fiveyear","tag-fixed","tag-hefty","tag-hiking","tag-lifts","tag-longerterm","tag-market","tag-mortgage","tag-new-zealand","tag-newzealand","tag-november","tag-nz","tag-official","tag-points","tag-rate","tag-rates","tag-reserve","tag-responded","tag-term","tag-two","tag-westpac","tag-whopping"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/174842","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=174842"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/174842\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/174843"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=174842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=174842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=174842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}