2025 has had quite a tumultuous start, though in line with the market’s expectations the Bank of England has announced its decision to cut the base rate to 4.5% at the first of its eight Monetary Policy Committee meetings this year.
The announcement comes after interest rates were cut twice in 2024 (August and December), from 5.25% to 5%, then 5% to 4.75%.
Some experts foresee a further two cuts to the base rate in 2025; some as many as four. That could mean that interest rates fall to as low as 3.5% by the end of 2025.
So what does this mean for you and your savings?
Whether you’re already sitting on some sizeable savings, or building them up to spend on one of the three most common savings goals (property, retirement, holidays), we all want to maximise our money. For example, what you earn in interest could pay for something as large as solicitors’ fees for your property purchase or another night at a 5* hotel, depending on the rate and your deposit amount.
If interest rates continue to fall, then the window to capitalise on high interest rates will narrow. A delay could cost you.
To put that delay in perspective, 0.25% of £50,000 is £125 – just shy of the average monthly grocery bill in the UK.
At Akoni, we know how valuable your time is. Searching around for great rates can be overwhelming as well as time consuming, and then there’s the matter of completing all that paperwork for each bank!
That’s not the case with Akoni.
We aim to have you onboarded by the next business day after you’ve completed your application. This allows us to complete the necessary checks.
Once you’ve onboarded with us, you’ll have access to competitive interest rates across a wide range of savings products and bank providers. And best of all? No more paperwork! Simply select the deposit product you want, fund it, and we’ll take care of the rest.
Sign up today to explore our savings accounts, and make this February the month you sort out your savings. Already with us? Login to secure your deposits and avoid disappointment.
With further base cuts potentially on the horizon, you don’t want to be left with the knowledge you could’ve got more out of your money.
Check out our best fixed term rates below:
*Rates correct as of 05/02/2025
Secure your best rate today by contacting us on 0203 137 9388 or by email on contact@akonihub.com. You can also book an appointment using Calendly by following this link.
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