Savings

The base rate has been held at its 0.5% historic low once again, the Bank of England announced today.

Families have seen their finances improve over the last year which has helped them boost their savings despite the recession, according to a report.

It is now just over a year since the Government's National Savings & Investments (NS&I) bank launched the latest batch of its popular inflation-beating, tax-free accounts, meaning many customers can now withdraw their cash virtually penalty-free.

Banks will be made to display clearer information online and in branches on how much compensation savers could claim if their provider went bust. However, the new rules stop short of forcing banks to include the information on statements.

Banks must be told to stop offering free current accounts if Britain wants to stamp out mis-selling scandals, a senior regulator said today.

Many savers with cash in Santander UK are worried about the safety of their money due to problems in Spain and the wider European economy. However, the bank stresses it is a separate entity to its Spanish parent, which therefore cannot raid UK cash.

Savers not warned when their rate is due to dive following the end of a fixed term could be due compensation, following a ruling by the independent arbitrator.

Last week, we hit a technical recession — that means the economy shrank for two successive quarters. What does it mean for you?

The UK's "failing" pension system needs to be radically overhauled and simplified to make it as attractive to consumers as saving into Isas, a report from the Institute of Directors said today.