BSA comments on FCA savings market consultation
Brian Morris, Head of Savings Policy at the BSA responds to a new FCA consultation.
Commenting on the FCA’s cash savings consultation paper Introducing a Single Easy Access Rate for cash savings Brian Morris, Head of Savings Policy at the BSA said:
“We support the FCA’s intentions to improve the outcomes for long-standing savers across the whole market, but are uncertain that the proposed single easy access rate for cash savings (SEAR) will deliver the desired result.
“The FCA note that building societies tend to offer higher interest rates to long standing customers¹. The BSA has calculated that over the past three years building society savers have received £2.5 billion² more in interest than those in similar accounts with the big banks.
“The BSA and its members will now carefully consider the FCA’s proposals in their entirety and look to work with the regulator to achieve positive consumer outcomes. This includes continuing to encourage savers to shop around for the best accounts.”