Moneyfacts UK Savings Trends Treasury Report data, not yet published, reveals that there is a far greater portion of fixed rate bond providers cutting or removing their products from the savings market. Indeed, during August 2019, the proportion of fixed rate bond providers overall that removed their products from sale or cut rates grew by 21% in just two months, now standing at 44%, up from 40% in July and 23% in June.
In June 2019, on longer-term fixed rate bonds and one-year fixed rate bonds, the proportion of providers to cut or withdraw deals was 21% and 12% respectively. However, the latest figures reveal that this has leapt to 40% and 30% respectively for August 2019.
This period of cuts has since taken toll on the returns on offer, with the average longer-term fixed bond rate (1.64%) falling to its lowest point since October 2017 (when it stood at 1.62%) and the average one-year fixed bond rate (1.34%) at its lowest level since August 2018 (when it stood at 1.32%).