The Bank of England (BoE) has today cut the base rate by 15 basis points to 0.1% - the lowest level in the bank’s 325 year history - to mitigate the prevailing economic issues resulting from the spread of coronavirus.
The base rate was due to be reviewed on 26 March by the Bank’s Monetary Policy Committee but the decision has been taken early in a move the bank says is intended to “support business and consumer confidence at a difficult time, to bolster the cash flows of businesses and households, and to reduce the cost and to improve the availability of finance”.
The reduction in the base rate will put downward pressure on deposit interest rates, meaning that savers and finance directors need to act now if they want to ensure that they get the best returns from their cash in the coming months.
Locking in a fixed term market-leading rate now secures the best return and peace of mind in advance of the rate reductions we’re likely to see in the coming weeks.
The cost of inertia will rise in the coming weeks as market rates decline.
Pro-active savers, businesses and charities can use the Flagstone cash deposit platform to quickly and easily secure market-leading rates from a choice of 43 banks and hundreds of different FSCS protected accounts, at the click of a mouse.
To learn more watch this short video and click here to open an account.