Overview
- Retail chief Stephen Noakes told MPs that regular savers typically allow up to £200 a month at 6.5% to build day‑to‑day saving habits.
- Nationwide’s Flex Regular Saver pays a variable 6.5% for 12 months with monthly deposits capped at £200 and could generate about £84.50 in interest if the rate holds.
- Noakes cautioned that some customers are moving money from current accounts paying zero or very low interest and urged checks on existing balances.
- Rival regular savers currently advertise higher rates, with examples including Principality Building Society at 7.5%, Zopa at 7.1%, First Direct at 7% and the Co‑operative Bank at 7%.
- Independent experts said many providers still offer negative real returns, citing legacy accounts such as some Virgin Money products at 0.25% AER and encouraging switching.