Inflation hits cash savings: Consumer prices index jumps to 1.5% while top interest rate is just 1.32%

By Daily Mail City & Finance Reporter

Published: 22:00 BST, 25 May 2021 | Updated: 22:00 BST, 25 May 2021

Inflation jumped to an annual 1.5 per cent, up from 0.7 per cent in March

Inflation jumped to an annual 1.5 per cent, up from 0.7 per cent in March

There was more bad news for savers last week with inflation, measured by the consumer prices index, jumping to an annual 1.5 per cent, up from 0.7 per cent in March.

They need to earn 1.5 per cent for their cash to keep its value in terms of what it can buy. 

The top rate is 1.32 per cent from Charter Savings Bank but you must tie up the cash for five years. If you leave it with High Street banks paying 0.01 per cent, your £1,000 will drop to £985.10 after interest is added.

:

Some links in this article may be affiliate links. If you click on them we may earn a small commission. That helps us fund This Is Money, and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence.

Read more at DailyMail.co.uk