The Bank of England cut its interest rates this month by 0.25% from 5.25% to 5%.
We see many of our customers with large amounts of cash in their companies, either because they are saving for a specific purchase like purchasing a dental practice or simply because they don’t want to pay personal taxes at higher rates to extract it.
Whilst we can’t give specific advice on investing, if you are in this position and want to make this money ‘sweat,’ Some of our customers are currently getting returns similar to the Bank of England rate by depositing their company funds with:
- Flagstone – This platform, not a bank, allows you to spread your money between different banks and has access to the top rates of interest banks currently offer. FSCS protects you via the underlying bank. The minimum deposit required to open a Flagstone account is currently £100,000 for companies, and they take a fee of the interest you earn.
- Alicia Bank – This bank is well known for its business customer service and market-leading interest rates. You will need to deposit £20,000 to open an account with them.
With interest rates cut for the first time in more than four years, reviewing the rates you are getting paid on your bank deposits looks like a good time.