NS&I CUTTING ISA interest rate

Sapphire

I received an email yesterday to the effect that National Savings and Investments are actually cutting the paltry savings rate on their ISA from 1% to 0.75%. I've already moved money out of this ISA due to the abysmal savings rate. Do they want to actually lose customers, I wonder? :cool:

Money_Grabber13579

I think the answer is yes, given I understand that they have already exceeded the governments target for raising finance this year...

Mr_K

Sapphire wrote: »

I received an email yesterday to the effect that National Savings and Investments are actually cutting the paltry savings rate on their ISA from 1% to 0.75%. I've already moved money out of this ISA due to the abysmal savings rate. Do they want to actually lose customers, I wonder? :cool:

Bit of a bloody cheek for a Govt. savings provider to cut savings interest rates at at a time when interest rates have gone up ! Hardly sets an example to other providers.

eskbanker

Mr_K wrote: »

Bit of a bloody cheek for a Govt. savings provider to cut savings interest rates at at a time when interest rates have gone up ! Hardly sets an example to other providers.

So you completely missed the point being made by the previous poster then?

NS&I's role isn't to set an example to other providers, its unique position within the industry is to raise money towards a specific government-set net financing target - in 2018/19 the target is £6bn (+/- £3bn) and by the end of Q1 they'd already got to £3.1bn, so that's hardly the time to put the foot on the gas and try to attract more money faster....

Peelerfart

I've done my bit to help the government and transferred my morsle from there today.

nbrewitt

In the process of moving my ISA to another provider. Farewell NS&I.