The Financial Conduct Authority has given banks and building societies until the end of the month to justify the rates they have set for savers or face action if they are unable to – including a fine.
“The profits are nearly doubling, that’s the implication, simply as a result of interest rates rising, not through any action or innovation of their own. He said: “We’re very cognisant of the pressure that people are facing at the moment in a high interest rate environment.” A spokesperson for Lloyds Banking Group said: “We offer a range of accounts customers can choose from depending on the flexibility they want, with our savings products offering up to 4.2 per cent for instant access, 5.5 per cent on fixed-rate accounts, and up to 6.25 per cent for our flagship monthly saver account.
🤔 So, what's happening? Why don't banks pass on interest rate increases as quickly for savers? ⬇️Explained