Fixed rate bonds dip

INTEREST rates on short-term fixed-rate bonds have fallen to a six- month low, according to researchers Moneyfacts.

The average rate on one-year bonds is now 1.42 pc, and savers need to move quickly if they are going to grab top rates.

These rates stay on sale for an average 48 days against a previous 62 days in January.

One of the latest to cut its rate is Shawbrook Bank, which closed its one-year fixed-rate bond at 1.97 pc yesterday and replaced it with a new version at a much lower 1.65 pc.

The best one-year rate is 2 pc with Kent Reliance and Metro Bank. For two years, PCF Bank pays 2.26 pc.