UK banks must accelerate rate rises for savers, says watchdog

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British regulator the Financial Conduct Authority (FCA) said on Thursday that banks need to accelerate rate rises for savers, but said it was not up to the watchdog to dictate pricing.

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07 Jul 2023

Politicians and consumer campaigners have been heaping pressure on British lenders to raise rates for savers as fast as they have hiked rates on mortgages, as an intensifiying cost of living crisis is particularly acute for poorer households.

The FCA said it had seen signs of progress from lenders and encouraged savers to shop around for better deals.

«We now want to see that progress accelerate,» the body said in a statement.

Sheldon Mills, FCA executive director for competition, said in a broadcast pooled interview that he believed savers were getting value when taking into account the full range of products available.

«It's not for me to set rates for banks,» Mills added, after a meeting with nine lenders, including Britain's 'Big Four' banks — Barclays, HSBC, Lloyds and NatWest.

The watchdog's moderate tone may disappoint critics. Lawmakers on the