In news that is likely to interest
investors, inflation figures have revealed that the Consumer
Price Index has fallen to 3.10 per cent, a marginal fall of 0.1 per
cent from the previous month.
This is, however, still way above the government's two per cent
target.
According to
Money Facts, hopes of any longer term reductions may be stunted
when we see the implementation of the VAT increase early next
year.
To stop their savings pot effectively eroding away, the website
noted that a basic rate tax payer needs to find an
account paying 3.88 per cent, while a
higher rate tax payer needs to find an account offering 5.17
per cent.
Darren Cook, spokesperson for the website, commented:
Inflation is a stealthy enemy for
savers and when
rates are low, it quietly erodes the spending power of a hard
earned
nest egg .
Savers may have had a short respite from a marginal fall in
inflation, but
savings rates have hit a plateau and may be there for a
while.
Meanwhile, Fair
Investment Company, the leading
pension and investment services provider, recently partnered
with The
Annuity Team to offer its customers a brand new
annuity service.
