Barclays bucks the trend

While the rest of the savings market seems to be booming with increasing rates and new best buy products being launched almost daily, this week Barclays Bank became the first provider to announce a reduction in its savings range during this period of base rate stability.

Lisa Taylor, analyst at Moneyfacts.co.uk commented: “By bucking the current trend and reducing rates on its adult savings range, Barclays has become far from competitive. The instant access and no notice accounts fall well short of the top rate of 6.50% available elsewhere. With the e-Savings only paying up to 4.87% (4.96% AER), it will struggle to compete with the 6.40% (6.41% AER) available from competitors. Even the ISA falls well short of the market leading 6.21% transfer in product.

“It’s disappointing to see that such a larger provider is reducing its rates even further. Savers should take stock of their investments and check they are receiving the best rates. With already uncompetitive accounts falling, while the top end of the market booms, it really does make a difference whether you are with the best or worst provider.