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Big Banks League of Shame: Worst Rates Revealed

SHAME’s Big Bank Savings League: Compare your insult accounts – then vote with your feet and get those best deals

  • Banks continue to offer as low as 0.01% on easy access rates
  • They also offer as little as 0.4% to savers over a two-year period.
  • You know our best buys savings charts – check out our worst buys charts…

Since December, there have been five hikes in the Bank of England‘s base rate, taking it from 0.1% to 1.25%.

The move has trickled down to our independent This is Money savings tables, the challengers leading the way when it comes to offering easy-to-access, fixed-rate purchase offers that have skyrocketed.

However, it is clear that many of the big banks currently have no desire to fight to save money or play fair on rates.

For this reason, we decided to publish a weekly ranking of the worst offenders for easy access rate, one-year and two-year patches.

Piggy pain: we decided to list all the rates offered by the major high street banks

The worst offenders: Currently, Barclays still only offers 0.01% on easy-to-access cash. It’s only 10p on every £10,000 saved.

By comparison, the best rate in our easy-to-access savings tables is currently Al Rayan’s 1.45% offer, with a range of others paying 1.4%.

NatWest/RBS are the worst offenders for one- and two-year fixes because they don’t even bother to offer fixed-rate deals to savers. Halifax and Lloyds Bank do not offer 12 month fixed rates and only 0.8% over two years.

By comparison, the best rate in our one-year fixed rate savings tables is Cynergy Bank’s 2.72% deal and it also has the best two-year fixed rate at 3.08%.

BEST OF A BAD GROUP: TSB gets an honorable mention here, after raising rates on its fixed-rate deals on July 7. Its one-year plan now pays 2%, while its two-year fixed pays 2.2%.

Santander also gets a mention, offering the best easy access rate of 0.75%.

Although these don’t beat the best buys at our independent This is Money savings tables, they are still far better than all the other high street banks.

There is currently a 0.74 percentage point gap between the worst easy-to-access account, Barclays, and the best, Santander.

Below we also highlight each bank’s standard variable rate mortgage, many of which increased in line with the base rate almost instantly, unlike savings.

It’s worth pointing out that banks should have a new, higher SVR from August 1, and possibly slightly higher savings rates:

Big Bank league of Shame – Easy Access vs SVR Mortgage
Vendor Best easy access rate Mortgage SVR Difference (percentage points)
Worst: Barclays 0.01% 5.49%** 5.48%
7.HSBC 0.1% 4.04% 3.94%
6. NatWest/RBS 0.1% 4.49% 4.39%
5. Nationwide 0.16%* 4.49% 4.33%
4. Lloyd’s 0.2% 4.49% 4.29%
3.TSB 0.25% 4.49% 4.24%
2. Halifax 0.25% 4.49% 4.24%
BETTER BIG BANK
1.Santander 0.75% 4.5% 3.75%
THE BEST OF ALL BANKS
Al Rayan 1.45%
Source: It’s Money and L&C Mortgages
* Offers a slightly higher rate for balances over £10,000
**Existing customers have a return rate of 4.74%
Date compiled: July 7, 2022
Big Banks League of Shame – Fixed Rates
Vendor 1 year fixed rate Two-year fixed rate
Worst: NatWest/RBS N / A N / A
7. Lloyd’s N / A 0.8%
6Halifax N / A 0.8%
5.HSBC 0.45% 0.5%
4. Barclays 1% 1.3%
3. Nationwide 1.1% 1.4%
2.Santander 1.4% 1.9%
BETTER BIG BANK
1.TSB 2% 2.2%
THE BEST OF ALL BANKS
Cynergy Bank 2.72%
Cynergy Bank 3.08%

James Blower, The Savings Guru, says: “The charts highlight the stark reality that the big banks have no incentive to pass on base rate hikes to savers.

“Despite five increases since December, the charts show that big providers are doing nothing and savers who expect to be better off with base rate increases simply aren’t.

“The good news is that there are ten providers paying 1.4% or more on easy access who want your money and there is a significant uptick in interest from savers switching.

“Unfortunately, loyalty is not rewarded and those who save with the big banks will only benefit by moving.”

“It’s outright profit from the banks lending out these deposits at much higher rates or, at worst, earning 1.25% on savers’ money by placing it with the Bank of England .”

Getting a Better Savings Rate: Where to Go Next

What the tables should do is incite savers to act. Fight this inertia to move your money and stop allowing banks to treat savers with such contempt.

– Easy to access best savings rates

– Best Buy Fixed Rate Savings Account

– Isas cash best buy

– The best savings platform rates

THIS IS MONEY’S FIVE OF THE BEST SAVINGS OFFERS

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