The Cambridge to raise its SVR

The Cambridge Building Society is to increase its standard variable rate (SVR) on both residential and buy-to-let mortgages.

From 12 September 2012 the society's SVR will increase by 0.4% from 4.59% to 4.99% for residential mortgages and from 4.99% to 5.39% on buy-to-let.

Stephen Mitcham, chief executive at The Cambridge, said: "As a mutual The Cambridge is committed to supporting both borrowers and savers and is aware of the financial pressures that its members face.

"The Society continues to experience increasing costs, particularly in attracting and retaining retail savings, and has reached a point where it has had to pass on some of this cost to its borrowers.  I would like to reassure you that we have delayed any increase for as long as we possibly could."