Wealth Management

Savings rates

Despite recent increases, interest rates remain significantly below inflation.

16th January 2023

With the UK Bank Base Rate increasing again in December to 3.5%, deposit rates continue to increase with savings rates much slower to catch up compared to mortgage rates which tend to increase much quicker.

Of note, we saw a further increase in the rates from National Savings & Investments with a 0.5% increase in the Direct Saver rate shown below and the prize pot for Premium Bonds going up to 3%.

Looking at rates at the time of writing (on Tuesday 10 January) an indicative sample of the rates you can secure at present are as follows:

Source: Moneyfacts.co.uk 10.01.23

With interest rates rising rapidly, we typically see mortgage rates increase almost immediately but savings rates can take a little time to catch up.

We have not included institutions in the table above as rates change quickly. If you wish to review the interest rates you are getting currently, please do speak to your Old Mill financial planner.