Personal finance expert and co-founder of savings platform Raisin UK, Kevin Mountford, is encouraging consumers to secure any spare cash they have into savings accounts before it’s too late. At present, savings rates are as high as 4.5 percent AER with RCi Bank, 1.5 percent above the current rate of inflation.

This means securing money away in a fixed rate account for three years with RCi Bank could see people earn an additional £542.98 on monthly savings alone. That’s the equivalent to more than an extra month and a half in savings.

The research reveals nearly half of consumers are prepared to lock their money away for a year or more (48 percent). Yet, many are hesitating. Some worry about selecting the wrong account (17 percent), while others say the sheer number of options puts them off (16 percent).

But Kevin warned: “Current market volatility means the Bank of England will make cautious moves to protect the economy, including lowering the base rate. Savings account providers will mirror these actions to lower their own funding costs.

“As a result, interest rates on savings accounts will fall. This is why it is critical to act now.

“On top of this, only last month, Andrew Bailey, Governor at the Bank of England, anticipated the UK would reach the two per cent inflation target by spring 2026.

“Now, the latest OECD report suggests we could see a rise in inflation from the current three per cent to four per cent before the year is out.

“So delaying the decision to choose a new savings account may mean you not only lose the opportunity to benefit from the extra savings, your money will also lose value if inflation rises.

“With the cost of living tight as it is, pockets are only set to feel the squeeze more. Acting now means you’re helping build your own financial resilience.”