Savings round up - 13th May
12/05/2024
The Bank of England's decision to hold Base Rate was no surprise. The split 7-2 vote in favour of hold versus cut shows there's another three members who need to be convinced to cut before Base reduces. However, the Governor, Andrew Bailey, certainly signalled that things were getting closer on that front. There's two lots of inflation data before the Bank's next meeting - they will be crucial to determine whether there will cut in June. If we see both sets showing inflation down to 2% or less, the Bank's target, then expect to see a Base Rate cut at June's meeting. Otherwise, it is likely to run on until August. The clear tone was a cut is coming though which is likely to mean we see rates ease back this month. Fixed rates of under 1 Year, plus 1 and 2 Year Fixed, look overpriced and we expect to see these fall further back, as they have rebounded a little in recent weeks. Here's our round up of all the best buys and key changes from the savings market from the past week:
Paragon Bank are back at the top of the easy access best buys with the relaunch of their Double Access account paying 5.05%. However, the rate on this account drops to 1.50% if three or more withdrawals are made within a 12 month period. Agricultural bank, Oxbury, are next with their easy access account paying 5.02%. This has a high minimum balance of £20,000 though. Monument's 5.01% rate is third and is straight forward savings account but does also have a high (£25,000) minimum balance. Paragon Bank pay 5% via Raisin, which is available to those with £10,000+ to save. Close Brothers share fourth - paying 5% too - and also ask for a £10k minimum balance. Kent Reliance pay 4.96%, Oxbury Bank offer 4.94% to those with £1,000 to save, and Charter Savings Bank pay 4.93%. Aldermore Bank's Double Access pays 4.90% as do Secure Trust to complete the top 10.
There's a three way tie for best buy at 5.25% - Investec pay this for 90 Days, United Trust Bank for 180 Days - although this is a Base Rate tracking account - as do Hinckley & Rugby Building Society for their 180 Day Notice. Monument Bank relaunch their 45 Day Notice paying 5.20% to move alongside Vanquis, who pay the same rate but for 120 Day's Notice. Shawbrook are next paying 5.16% for 45 Day's Notice. Charter Savings and BLME pay 5.15% - Charter for 95 Days and BLME for 90 Days. Monument pay 5.13% for 7 Days and Kent Reliance offer the same rate but for 60 Days. StreamBank pay 5.05% for 90 Days Notice.
Atom Bank pays a best buy rate of 5.25% for 6 Months fixed with Gatehouse Bank offering 5.22% for their 6 Month rate. Zenith Bank is next at 5.18% with ICICI Bank paying 5.16% via Hargreaves Lansdown Active Savings. Cynergy pay 5.12%.
Atom Bank lead the way on 9 Months paying 5.15% ahead of ICICI Bank who offer 5.13% on their 9 Month Fixed via Hargreaves Lansdown. Next is Al Rayan Bank who pay 5.10% via Raisin and Charter Savings Bank who pay 5.07% via Hargreaves Lansdown
Also worthy of note is ICICI Bank's 3 Months Fixed at 5.10% on Hargreaves Lansdown's Active Savings.
Al Rayan Bank are the new best buy paying 5.20% via Raisin and direct. SmartSave and Habib Bank Zurich share second - both paying 5.18%. Close Brothers pay 5.16%, just ahead of Atom and Zenith Bank at 5.15%. Aldermore Bank pay 5.10% via Hargreaves Lansdown and Aldermore also pay 5.10% via Raisin. National Bank of Eygpt also pay 5.10% on Raisin to complete the top 10.
United Trust Bank lead the way with their 15 Month Fixed paying an improved 5%. Al Rayan Bank pay 4.85% via Raisin and direct, as do Cynergy Bank on their 15 Month Bond and Allica Bank, following their increase. Aldermore are just behind paying 4.84% via Hargreaves Lansdown. There's a five way tie at 4.80%. Zopa Bank pay 4.80% via Hargreaves Lansdown Active Savings, as do Cynergy and Union Bank of India.
RCI Bank are the best buy paying 5.05% and they are the only provider paying over 5%. There's a drop then to Birmingham Bank who launched a new 2 Year paying 4.97%. Close Brothers pay 4.95% via Hargreaves Lansdown's Active Savings platform alongside Atom and Union Bank of India. Hodge increased to 4.94% last week as did Al Rayan Bank, who pay 4.92% via Raisin and direct. Zenith Bank pay 4.90% via Raisin and direct.
Birmingham Bank remain the best buy paying 4.73%. They are followed by Shawbrook at 4.71%. RCI Bank are just behind at 4.70% - alongside several others including Zenith Bank who pay 4.70% via Raisin, Al Rayan Bank's 4.70% via Raisin, Atom Bank and Hodge. RCI Bank themselves launched on Raisin at 4.70% too during the week. Oxbury pay 4.66% with Close Brothers paying 4.65% via Hargreaves Lansdown Active Savings.
isbank, pay a best buy 4.50% via Raisin ahead of Oxbury Bank who pay 4.31% ahead of Zopa Bank and BLME, who both pay 4.30%. UBL pay 4.26% via Raisin. United Trust Bank offer 4.25% and Cynergy complete the top seven at 4.20%.
Birmingham Bank are the best buy at 4.58%, just ahead of Shawbrook at 4.57%. Third is Hodge at 4.56%, with Al Rayan Bank, who pay 4.55% via Raisin, and Close Brothers who also offer 4.55% via Hargreaves Lansdown's Active Savings and direct, just behind. UBL Bank pay 4.52% via Raisin and direct and isbank pay 4.50% also via Raisin. Atom completed the top ten at 4.50%.