Savers had a resoundingly duff deal over the decade that just ended, as they paid the price for the borrowing binge that proceeded it.
Understandably, many feel somewhat aggrieved – like a moderate drinker who got the hangover that should have gone to the party animal.
But it’s not just ‘emergency’ low interest rates that turned permanent that delivered the pain, banks and building societies paying little respect to loyal customers and undermining them with rock bottom rates on legacy accounts has also played a major part.
Now, the financial watchdog has a plan to deal with the so-called loyalty penalty. A standard savings rate across all easy access accounts and Isas, with the ability to offer better rates over limited periods, for example, 12 months.
When bonus time was up, that standard rate would act a floor to protect savers against the 0.01 per cent-paying accounts of this world.
Is this a solution to the problem, or just some tinkering that all but mandates bonus accounts and does nothing to tackle saver inertia?
Simon Lambert, Sarah Davidson and Georgie Frost tackle the plan to improve the savings market on this week’s podcast – and discuss whether this is a wise idea for a new decade or a recipe for more of the same.
Also, on this week’s podcast, as a decade ends and one begins, we look at the property market: what happened to house prices in the 2010s and how did it compare to the 2000s, 1990s and 1980s, and also what will happen this year and in years to come?
The team also look ahead to the 11 March Budget and what may crop up for our personal finances, along with the growing population of over-90s and how we look after our nonagenarians properly.