Savings: Over 7 million people ‘lose’ their savings

Many of us don't bother to shop around for the best savings interest rates but research done by National Savings & Investments (NS&I) shows that millions of us are even more careless with our savings. Lost savings accounts In a survey of 2,500 people NS&I found that 16% of people thought they had savings accounts or investments which they had lost track of. If the results of the survey mirror the wider population that would mean around seven million people have savings or investments they can't locate....

Rate of inflation falls again

New figures show that inflation has fallen to its lowest level since early 2010. Data released by the Office for National Statistics (ONS) shows that the Consumer Prices Index (CPI) fell to 2.8% in May from 3% in April. The Retail Prices Index (RPI), which includes housing costs, also fell, this time from 3.5% in April to 3.1%. Reasons for the fall in rate of inflation At its peak, in September 2011, the rate of inflation rose to 5.2%, however since then it has gradually fallen, albeit with a couple of jumps back up along the way....

Savings: Why it’s so important to shop around for the best savings interest rates

New research has emphasised the importance of shopping around for the best savings interest rates. The data provider, Defaqto, has found that a saver who put £1,000 into the best instant access deposit account three years ago and then transferred the balance to the most competitive account on each anniversary would have earned total interest of £71.73, assuming the interest was left in the account and basic rate tax at 20% is deducted at source. In comparison leaving the savings in the lowest paying account would have earned interest of just 24 pence, nearly 300 times less....

Blow to best buy savings: NS&I cut their interest rates

National Savings & Investments (NS&I) has been forced to cut the interest rate on one of its most popular account after concerns were raised that it might breach its financing target. In a bid to maintain competition and fairness in the savings market, the Treasury set a net financing target for the amount of money NS&I can take in. For the year 2011/12 the target is £4 billion, however the latest forecast, released today, shows NS&I are likely to breach this figure by around £500 million. Security Over the past few years savers have flocked to NS&I as they look for a safe ...