The race to the bottom of the savings chart after the Bank of England cut interest rates to 0.1% in March and launched a new Term Funding Scheme with additional incentives for SMEs (TFSME) seems to have temporarily halted, as several banks have increased rates over the last month.
Since the start of July, QIB (UK), Charter Savings Bank and United Trust Bank have all increased their one year fixed rate bonds more than once. In fact, both Charter Savings Bank and United Trust Bank have increased rates three times over the last month. Not only have these banks been increasing rates, but they all now sit within the top six best deals in the one year fixed rate bond chart.
QIB (UK) offers the best one year fixed bond rate overall, with its Raisin UK – 1 Year Fixed Term Deposit paying an expected profit rate of 1.20% gross on maturity. Secure Trust Bank offers the second-best one year fixed bond rate, with its 1 Year Fixed Rate Bond paying 1.16% gross yearly, while the third-best rate for a one year fixed bond comes from OakNorth Bank, which pays 1.11% on its Fixed Term Deposit. United Trust Bank pays the fourth-best rate on its UTB 1 Year Bond, which pays 1.10% gross on anniversary.