By Ros Altmann, December 29, 2009
Last year was a roller-coaster ride for investors. For savers, it was a disaster.
The Bank of England slashed base rates to half a per cent as it tried to stimulate the economy, so base rate tracker savings accounts generate virtually no income. For example, £25,000 in an account offering 6 per cent interest last year, paid nearly £30 a week. But with interest rates at 2 per cent, income falls below £10 a week, and, if your account just pays the 0.5 per cent base rate, you will receive only £2.50.