May savings hit five-year high
Building societies’ strong performance in the savings market continued in May, with societies attracting savings inflows of £853m, the highest May figure since 2002.
This represents a substantial increase from last May’s figures of £608m. Building society net receipts to cash ISAs in May 2008 were £272m compared with £404m in May 2007.
This is good news for the savers taking advantage of the competitive interest rates and products that building societies are now offering.
Adrian Coles, director-general of the Building Societies Association (BSA), said: “Yet again, savers have responded to the uncertain economic outlook by choosing the safety of a building society over the volatility of the stock market. High interest rates offered by societies, coupled with attractive product ranges, have seen customers continuing to flock to societies with their savings.”