Tesco Bank has increased interest rates on its savings and ISA accounts: How much money do you think you could make?
TESCO Bank offers a variety of savings options, including fixed accounts and Individual Savings Accounts (ISAs). The business said today that it will raise interest rates on a variety of these accounts.
Tesco Bank said today that interest rates on a number of its savings products will be raised. This surge came at a period when average savings rates were at all-time lows.
From today, Tesco Bank has increased the following accounts:
The increases were discussed by a Tesco Bank spokeswoman.
“At Tesco Bank, we are continually reviewing our savings products to ensure we are providing the best value for our customers,” they added.
“This hike in rates, which are among the most competitive in the market, will benefit both our fixed rate and rapid access savings customers.”
Savings will undoubtedly be eager to take advantage of any rises, as average rates are now at historic lows.
Moneyfacts.co.uk published their latest mortgage and savings rate data on June 18, revealing that the average no notice savings rate was 0.1656 percent.
According to the report’s results, average rates have been at their lowest since at least January 2016.
The Bank of England has indicated that interest rates would remain low as the economy improves, so rates are unlikely to rise much anytime soon.
The central bank decided to hold the base rate at 0.1 percent on June 24, limiting the products that retail banks might provide.
At the same time, it was noted that inflation could reach previously unheard-of levels in the following months, further affecting savers.
In response to the Bank of England’s decision, Jason Cozens, the Founder & CEO of Glint, made a statement.
“Despite rapidly rising inflation, the Bank of England refuses to increase interest rates,” Mr Cozens said at the time.
“Inflation is definitely out of control, and customers require additional bank assistance. Their cash and savings are currently losing value by the day as inflation continues to outpace interest rates.
“In the United Kingdom, we’ve already past the 2% objective, and there’s even discussion of inflation topping 4% this year.
“US inflation is over 5%, the highest level since the financial crisis, and Chinese manufacturing prices are up 9% in a year, placing global consumers at risk of further price increases if these higher production costs are passed on.”
“Along with steadily rising inflation.” Brinkwire Summary News