"For savers, today’s base rate rise should act as a powerful trigger to review your accounts and ditch and switch" says MSE

On the Bank of England’s decision to raise the base rate to 0.75%, Guy Anker, deputy editor of MoneySavingExpert.com, said: "For savers, today’s rise should act as a powerful trigger to review your accounts and ditch and switch if a better deal appears. Many put up with paltry 0.1% returns – or worse. Even without the base rate jump it was possible to earn much more than that, but the best deals will hopefully – but not definitely – creep up.

"So if you’re being ripped off, instead become an active switcher and make them pay you a decent return.

"Even if you earn what you think is a decent interest rate, check in a couple of weeks once the dust’s settled if it’s still good relative to the best buys, as there’s no guarantee your bank will pass the rise on to you.

"Yet this is bad news for mortgage holders, especially those on a variable rate which will now rise in price. The cost of the cheapest new deals for switchers or homebuyers will also likely jump.

"That means it’s vital everyone on a variable deal or whose fix is close to ending checks if they can save £1,000s by remortgaging, as the longer you wait the higher the cost of new deals may get."