Nearly eight in ten variable rate savings accounts pay interest at lower than the rate of inflation, new research has discovered. Personal finance website Moneynet calculated that basic rate taxpayers need an interest rate of at least 1.875% gross on their savings if they are to beat the current inflation rate of 1.5%. Yet only 22% of [...]

More: It’s a “miserable time” for savers

[QUOTE=Finance News;8357]Nearly eight in ten variable rate savings accounts pay interest at lower than the rate of inflation, new research has discovered. Personal finance website Moneynet calculated that basic rate taxpayers need an interest rate of at least 1.875% gross on their savings if they are to beat the current inflation rate of 1.5%. Yet only 22% of [...]


So why don't they just move their savings, it's a free market.

Many years ago I worked for a bank and trying to get people to move their money to a savings account with a better rate, even within the same institution was like pulling teeth.

To be honest this is actually a non-story dreamed up by the Moneynet PR Team.