Experts warn that savers will see significant reductions in interest earned from cash deposits following the Bank of England's base rate cut. They advise locking cash away in fixed-term accounts to protect against further anticipated rate reductions in 2025.
Savers are set to see big reductions on the amounts they earn in interest from their cash after Thursday’s Bank of England base rate cut, experts have warned.tend to fall as the bank rate does, and in the last month in which a Bank of England rate cut took place – November 2024 – average rates on accounts nosedived.
Rachel Springall of Moneyfacts added: “Savers who rely on their cash savings to boost their income are at the mercy of lower interest rates. “This includes the Bank of Scotland & Lloyds Bank and Barclays has announced that they will be cutting some variable rates 13 February – these were announced before the base rate decision today.”
INTEREST RATES BANK OF ENGLAND SAVINGS FIXED ACCOUNTS INFLATION
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