Savers are being urged to lock in the best available deals as experts warn they will soon disappear.
Metro Bank has already cut its former market-leading easy-access account from 5.22 per cent in January to just 1.65 per cent now, despite there being no change to the base rate.
Santander has also reduced its best buy deal of 5.2 per cent last autumn to 4.2 per cent now.
James Blower, the founder of Savings Guru, said: “We are mostly seeing rates easing back. There’s only two easy-access providers paying five per cent or more – Oxbury at 5.02 per cent and Monument at 5.01 per cent.
“There are now no two-year fixed rates above 5 per cent and I don’t see that changing. Savers who are hanging on, in the hope of a rebound to recent falls in fixed rate pricing are likely to be disappointed.”
One of the only benefits of high interest rates is that savings rates tend to rise as they do, meaning people get more return on their money. However, despite the base rate remaining high at 5.25 per cent, savings rates are falling.
There are currently just 16 one-year fixed rates paying over 5 per cent and none for longer terms.
Mark Hicks, head of Active Savings at Hargreaves Lansdown, said: “I expect we will see 5 per cent and above easy-access rates disappear over the next month as these products suffer the most as we get closer to the Bank of England cutting rates.
“Banks are starting to get ahead of the market by removing products from sale or cutting rates drastically. We’ve seen a number of key players in the savings market slash rates over the past week as savings flows remain strong. Typically, once one or two of these banks start to cut rates, the rest swiftly follow.”
Experts have suggested those looking to still benefit from a high-interest deal should lock in a fixed rate now before they are pulled from the market.
Rachel Springall, finance expert at Moneyfactscompare.co.uk, said: “Savers who are concerned about volatile interest rates could guarantee a return on their hard-earned cash by locking into a fixed rate bond.
“Any customers who are seeing a rate cut to their existing easy-access account would be wise to compare deals and switch.”
Below, with the help of Moneyfacts, i has listed the best savings deals currently on the market.
