Non resident savings

Tullibardine

I'm a UK citizen currently living in Australia with every intention of returning home for retirement if not sooner. My property is rented out so I have some income from that. I still have my NatWest accounts but have noticed that the best rate of interest I can get is 1% and they won't let me open any new accounts owing to my current residency status. Both my kids also have their nest egg invested with NatWest under the same conditions. With the exchange rate as it is I'd rather leave these savings in pounds. So what options are there for me? I'm not interested in overcomplicated investments, just something safe with a half decent rate of return. Suggestions welcome.

CKhalvashi

How much are we talking?

I don't ask to be nosey, but I do need to know a rough amount to give the best advice.

CK

bigadaj

Safe with a half decent rate of return is oxymoronic at the moment. I'm aware you may be looking at 5% plus savings rates in oz but a s you say you have the exchange rate risk and still a very strong Aussie dollar. The very best savings rate currently don't hit 2% in the uk anymore! which is why stock markets are so strong, or a partiala Nd relative reason for being so.

Tullibardine

Thanks for the question CKhalvashi and for the other responses so far. We are talking about 30K in my name and a bit over 20K in each of the kids'. Amounts in pounds. Of course the rent means it's gradually growing over time. Our safe investments in Aus are returning a bit over 4% gross.

xylophone

Both my kids also have their nest egg invested with NatWest under the same conditions.

Did they have CTFs? http://www.which.co.uk/money/savings-and-investments/guides/child-trust-funds-explained/child-trust-fund-questions-answered/

CKhalvashi

Tullibardine wrote: »

Thanks for the question CKhalvashi and for the other responses so far. We are talking about 30K in my name and a bit over 20K in each of the kids'. Amounts in pounds. Of course the rent means it's gradually growing over time. Our safe investments in Aus are returning a bit over 4% gross.

Cheers.

You may be worth looking at offshore banking if you're not overly worried about FSCS protection, or look into foreign (possibly Aus) GBP accounts.

The rates at Bank of Georgia were appealing last year (pushing 8% for 2 year GBP bond), and they're listed on the London Stock Exchange. Again, with this option you've only got protection on around £3000 (not £85000), so you need to bear the additional risk in mind.

I cannot recommend products, and nothing mentioned is a recommendation, it's for info only.

CK

Tullibardine

xylophone wrote: »

Did they have CTFs?

No, they each have a young saver style account which has the same 1% interest rate. Fixed rate bonds are slightly better but I can no longer access these owing to my current residency status.
Thanks

jimjames

Depending on the ages of the kids I'd be looking more at investments rather than savings. 1% return will give them less after inflation when they come to need the money.

atush

Look at some places like BM (birmingham Midshires) I have opened accounts with them when non resident in the UK. Coventry too I think.

Archi_Bald

UK branches of indian banks (SBI, Bank of Baroda etc) will allow non-residents. SBI offers some of the best savings interest rates in the market. Though they are all terrible, many are better than the 1% at Natwest.

http://www.sbiuk.com/personal/fixed-deposit

barak

Tullibardine - You probably realise this, but whatever else you do, don't close your existing UK accounts with NatWest!