UK savings: 5% interest rate deals may not last, say experts

NS&I has upped the rates on its ‘British savings bonds’. They now offer a fixed interest rates between 4.99% and 5.17% over their one-, two-, three- or five-year bonds. Photograph: Russell Hart/Alamy

National Savings and Investments (NS&I) has increased the returns on some of its accounts, with many now paying more than 5% for the first time in nearly three years.

Competition in the savings market has been growing, leading to some of the highest interest rates for years.