Ulster Bank has become the first mortgage provider to respond to Tuesday's European Central Bank (ECB) interest rate cut. The bank is lowering its variable mortgage interest rate by half a percentage point to 5.1 per cent (APR 5.2 per cent).

Mr Tony McArdle, of Ulster Bank Retail, said the bank was cutting its rates for the second time in two weeks in line with ECB movements. "Our new rates for variable mortgage interest are now 0.78 of a percentage point lower than at the beginning of the month," he said.