Despite the Bank of England keeping the base rate on hold, staying at 4% for the tenth month in a row, banks and building societies continue to cut savings rates.
Nationwide, the UK's biggest building society, cut its saving rates by up to 0.25% on nearly half of its accounts. It confirmed that the reason for the cuts was to come into line with its rivals, who had cut their rates earlier, resulting in a substantial inflow of savings into their accounts.
Abbey National, Barclays, Egg, Bradford & Bingley, Smile and Halifax were among Nationwide's rivals who had previously cut savings rates.