Today's news that we are about to enter a second year of record low interest rates is another blow for savers who have seen returns on their accounts plummet since the autumn of 2008.
Figures from the Bank of England show that at the end of January the average interest rate on offer on an instant access savings account was just 0.17%. In other words, savers were earning just 17p for every £100 they deposited, and that was before tax.
In October 2008, before the Bank started cutting rates to prop up the economy, the average available rate was 2.39%. It dropped below 1% in December that year and has stayed there ever since.
Better rates are available. According to the Bank's statistics the average rate on fixed-rate bonds in January was 2.41%. It is a far cry from the 6.06% on offer in the summer of 2008, but considerably more generous than rates available to those who want instant access to their money.
And, of course, the averages disguise a wide range of rates from the very poor to the more competitive. According to Moneyfacts, it is possible to earn a heady 2.65% on an instant access account if you shop around.
But there is no doubt that those living on their savings interest are suffering. So what is to be done? A campaign group called Save Our Savers recently launched in an attempt to mobilise those who are unhappy with their returns. Today its spokesman the Rev John Strain said frustration among savers had turned into real anger since the financial crisis.
"Responsible savers didn't cause the economic collapse, but they are being forced to carry the can yet again. Many are struggling on a much reduced income while others are watching their savings shrink in front of them," he added.
The group says it will lobby political parties to make sure they include measures for savers in their manifestos, but it doesn't really outline what these could be. Its website calls for the removal of rules that unfairly penalise savers, and says the government should "encourage saving and make sure savers are properly rewarded" and use "a fair and honest rate for inflation".
You can't argue with any of them as ideals, but what do they mean in practice? Should we really expect banks and building societies to be ordered to pay better returns when they are trying to build up their capital and the base rate is so low? Would scrapping tax make any difference given that many of those living on interest may be earning it tax-free as it is, and many savers are already leaving Isa allowances unused? Could pressure be put on the Bank to raise interest rates at the expense of borrowers?
For savers, the 13th month of historically low interest rates is certainly unlucky. But does anyone have any workable suggestions about what can be done to improve their lot?
