READING my daily paper, I was struck by the oft-repeated advertisement informing savers of another cut in interest rates, the fifth in about 18 months.
During this period,the gross rate has fallen considerably. One of our major banks/building societies on a saving of £5,000,has cut the rate by £80pa.
Not much it may be thought, but for low income pensioners who need and spend every penny they receive, such a drop reduces the extra supplement that provides additional necessities. Say a new pair of shoes or, in cold weather an extra woolie, a hair-do to keep up appearences, or a visit to the cinema or the local theatre.
We are aware of the additional benefits in increased pensions and allowances such as the Winter Fuel Allowance, free TV licence, (just had my renewal notice-worth £108) and so on. Nor are we neglectful of those without savings.We have campaigned for them for 18 years.
As with ISAs, it is surely not beyond the wit of some bright Treasury spark to produce a scheme for these, the smallest savers, giving them a fixed rate of, say 5%,equal to an assured £250pa. How happy these deserving folk would be.
I earnestly request that this be treated as an open letter to our four MPs whose constituencies lie wholly or partly in the Borough of Redbridge.Your views on this matter will of great interest to all concerned.
GUS KRAYER, Organiser of Redbridge Pensioners Action Association, Ashurst Drive, Ilford.
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