Savers can earn up to 74 times more interest by switching deals

Starved savers can earn up to 74 times more interest by switching to a new top deal.

The Aldermore Double Access account pays one of the highest rates offered in 15 months at 0.75 per cent.

Its launch follows the Bank of England’s decision to raise the general level of interest rates from 0.25 per cent to 0.5 per cent last Thursday.

By comparison, big banks pay a miserly 0.01 per cent and are still yet to pass on the December 0.15-point rise in the Bank’s base rate.

Experts warn that savers hoping banks will increase rates after last week’s rise risk bitter disappointment. They say savers need to move their money away from the High Street to earn more interest.

The big banks hold £974.2 billion in easy access accounts, up nearly £200 billion since the start of the pandemic two years ago.

Around two-thirds — £650 billion — is sitting with the big banks earning just £1 interest a year on each £10,000. At 0.75 per cent they could boost their interest to £75.

It comes as Money Mail’s Stop Short-Changing Savers campaign is calling for a swifter savings account switching service.

Savers may need to act fast to get the Aldermore deal. It offered a similar arrangement last year but closed the account a couple of weeks later after savers piled in. 

The Aldermore Double Access account lets you make two withdrawals a year — if you make any more, your rate will drop to 0.1 per cent.

Other top interest rates with no withdrawal restrictions come from Investec Online Flexi Saver (0.71 per cent) Shawbrook Bank Easy Access (0.67 per cent) Atom Bank Instant Saver (0.65 per cent) Tandem Bank Instant Saver (0.65 per cent) and Ford Money (0.63 per cent).

They offer the same protection as big banks under the Financial Services Compensation Scheme — up to £85,000, or £170,000 in a joint account, if the bank or building society runs into trouble.

sy.morris@dailymail.co.uk