Westpac New Zealand says the 50 basis point (0.5%) cut to the Official Cash Rate announced this morning by the Reserve Bank is in line with pricing expectations and its customers will see the benefit with 0.4% cut to Westpac's floating mortgage rate (to 6.49%p.a.) becoming effective for its customers next week (19 March).

This was announced on 19 February, when the bank moved in anticipation of today's decision. At the same time Westpac reduced its 6 month fixed rate to 5.79% from 5.99%p.a.

Westpac continues to review other rates but suggests fixed term mortgage rates have already built in the expectation of today's cuts so significant changes there are unlikely.

ENDS