Faced with the uncertainty of fluctuating interest rates and a recent credit crisis, most homeowners would opt for a fixed-rate mortgage if they were forced to choose a new deal tomorrow, according to the latest research.

Abbey asked a sample of homeowners what sort of deals they would plump for if they were required to re-jig their finances in the next 24 hours.

Just 18 per cent said they would take a variable or tracker product, given the unstable state of the market at present.

The majority - 79 per cent - were in favour of a fixed-rate product that would allow them to determine exactly what their payments were going to be for the fixed-rate period.

Sue Hayes, Abbey director of mortgages, said: "Fixed rates have always been popular in times of uncertainty when people look to gather as much security as they can from their mortgage."

The base rate currently stands at 5.75 per cent after five rate rises in a year, but many analysts now think the Bank of England may lower it in the near future as inflation comes back under control.

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