Inflation: Misery for savers as no fixed rate bonds beat inflation

iStock_000001293543_ExtraSmallThe news yesterday that the rate of inflation rose in May heaped more misery on struggling savers, most of whom will now find it impossible to get a real return on their savings. Figures from the Office for National Statistics (ONS), show the Consumer Prices Index (CPI) rose to 2.7% in May, up from 2.4% in April. The rise was in line with predictions from experts, with the Bank of England also suggesting that inflation could hit 3% before the end ...

Surprise dip in inflation

Inflation blogAccording to the Office of National Statistics (ONS), there has been a slight dip in the rate of inflation. The Consumer Prices Index (CPI) has fallen from 2.8% in March to 2.4% in April. The Retail Prices Index (RPI) has also fallen significantly to 2.9%, down from 3.3% in March. One of the main reasons for the slowdown in the rate of inflation was a fall in the cost of fuel. Over the past month petrol has fallen by 2.1p per litre, whilst the price of diesel ...

Savings: Savers suffer as savings accounts are withdrawn

Savers suffer as savings accounts are withdrawnNew research has shown that the misery for savers, already battling low interest rates and rising inflation, continues, as interest rates are cut further and savings accounts disappear at an alarming rate. Figures from Moneyfacts have shown that in November alone, 191 savings accounts were withdrawn from the market, over half of the total number for 2012 as a whole; whilst those accounts which have remained open have seen dramatic rate cuts. Funding for Lending Scheme to blame Moneyfacts ...

7 tips to stop inflation attacking your finances

The latest inflation figures saw a sharp rise in the rate at which prices are rising. Inflation is hugely dangerous to our income and savings, even relatively low levels can be hugely destructive, eating away at capital and reducing the buying power of our wages or pensions. The Bank of England has the job of trying to keep inflation under control, although for some years now they have struggled to keep it at the 2% target set by the government. Indeed many economists believe a combination of rising food and energy prices, along with the effects of Quantitative Easing, could mean inflation ...