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Those looking to borrow to fund home improvements might not be able to take advantage of an interest-free advance from Conservative Party HQ, but they can benefit from a recent fall in loan rates. Despite the ongoing pandemic, banks and other lenders have cut borrowing rates since January, with lower-value of loans of between £5,000 and £7,500 seeing their cost reduce by the most. The average cost of borrowing £5,000 has fallen from 7 per cent last April, and 7.2 per cent at the start of this year, to 6.9 per cent this month, according to figures from Moneyfacts.  That is the lowest they have been since September 2019, and close to the all-time low of 6.7 per cent seen in January two year s ago. 

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