Savers urged to get inflation-beating rates before returns are slashed | Personal Finance | Finance [Video]

GMB: Susanna and Ed cover breaking news as interest rates fall to 2%

Savers are being advised to lock themselves into long-term savings bonds offering returns of 5 percent before they disappear.

The 5 percent figure is above the current inflation rate of 2 percent and so offers a useful hedge against rises in living costs.

However, finance industry experts warn that these best paying deals are likely to be removed in the coming days.

Interest rates on savings have remained relatively stable since last week’s Bank Rate cut, but experts believe it is only a matter of time until things change.

Rachel Springall, of analysts Moneyfacts, said: “Savers sitting on the fence to invest their cash with a fixed rate bond may wish to do so quickly, as the top rates are not guaranteed to be there for long.”

Interest rates on savings have remained relatively stable since last week (Image: Getty)

Moneyfacts …