The UK's rate of inflation fell to its lowest point in more than a year during October, from 2.7% to 2.2%.
This means a basic rate taxpayer at 20% needs to find a savings account paying at least 2.75% per annum in order to beat inflation, while a higher rate taxpayer at 40% needs to find an account paying at least 3.66%.
Currently there are 45 savings accounts that basic rate taxpayers can choose from that do just this, out of a total of 877 ISA and non-ISA accounts.
In comparison, when Consumer Prices Index (CPI) for September was announced a month ago there were only nine accounts that beat inflation.
However, most of the inflation-beating accounts are fixed rate bonds or ISAs that require savers to commit funds for at least four years.
If you need easy access to your savings, the top-paying account offers 1.60% per year – far below what is needed to beat inflation.
Commenting on the latest figures, Moneyfacts.co.uk's editor, Sylvia Waycot, said: "The increase in accounts that beat tax and inflation is not due to a sudden increase in competitiveness but merely a result of the larger than average fall in CPI."
"Bearing in mind that the average no-notice savings account only pays a miserable 0.67% (or a £67 return based on a £10,000 investment in one year), savers have no hope of achieving the 2.75% needed just to counter the effects of inflation and pay the taxman's share without locking money away for a longer term."
Find out which accounts beat inflation – Top 5 inflation-beating cash ISAs
Find the best savings account for your criteria using our independent Best Buys and whole of market search.
Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.
Moneyfacts.co.uk will, like most other websites, place cookies onto your computer’s
hard drive. This includes tracking cookies.