'Funeral' for £326bn lost savings


Campaigners from the group Save our Savers carry a coffin as they mourn the passing of the UK Saver outside the Bank of England in London, ahead of today's decision on interest rates and quantitive easing. PRESS ASSOCIATION Photo. Picture date: Thursday March 6, 2014. See PA story ECONOMY Rates Procession. Photo credit should read: Gareth Fuller/PA Wire

A "funeral" procession took place outside the Bank of England today to mourn the loss of around £326 billion in savers' incomes.

Campaign group Save Our Savers carried the "coffin of the UK saver" to the Bank to mark five years of ultra-low interest rates.

The protest outside the Bank took place as it confirmed that it is keeping the base rate on hold at its historic 0.5% low.

Save Our Savers calculates that low savings rates, coupled with the eroding impact of inflation, have cost savers with money held in UK banks and building societies a total of £326.3 billion over the past five years.

It said the average saver with a pot of £100,000 has lost more than £4,000 a year in interest income.

The replica coffin used in the protest bore a plaque saying "£326bn savings lost".

Simon Rose, spokesman for Save Our Savers said the group had tried to deliver it to the Bank's governor, Mark Carney, but they were "refused admission".

He said savers have seen their incomes disappear "by stealth" over the last five years.

Mr Rose said: "I hope that we have managed to highlight the appalling effect that this has had on savers. This has distorted the economy."

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