National Savings & Investment directors are in emergency mode. They need to attract nearly a record £15billion from savers this financial year (plus or minus £4billion on each side). However, the bank, backed by the Treasury, is significantly lagging behind that goal. In the first two months of the financial year, only £352million was deposited, compared to £1.4billion in the preceding two months, according to Bank of England data. With such a substantial amount to raise and just nine months to accomplish it, interest rates are likely to remain elevated for some time as the bank seeks to replenish its coffers. In a unique move, NS&I has increased the rates on all its accounts since April 1, despite the Bank of England base rate remaining steady at 3.75 percent. So, what are the best deals currently available from NS&I… and which ones should you avoid?
[Context: NS&I struggling to meet savings target; raising interest rates on accounts. Fact Check: Bank of England base rate frozen at 3.75 percent.]
