National Savings & Investments (NS&I) is launching a new campaign to raise awareness about the effects of inflation on savings.
Under the Inflation-Beating Savings banner, NS&I is to promote its unique range of Index-linked savings certificates which help savers avoid the tyranny of inflation.
According to research from the government-backed savings and investment provider, only in four savers takes inflation – which is currently running at 2.9 per cent according to the Retail Price Index (RPI) – into account when choosing a savings option.
The Inflation-Beating Savings campaign aims to use new literature and advertising to ensure that savers are better informed about the effects of inflation.
Karen Jones, marketing director for NS&I, explained: "Most people know that £1,000 buys much less today than it would have ten years ago. Yet when it comes to saving for the future, the majority of people seem to be disregarding the impact that future inflation will have on their investments.
"This is why we have been giving Inflation-Beating Savings a face-lift. The new customer literature and services will combat confusion and make it easier for savers to consider the affects of future inflation and ensure their savings will outgrow it, whatever happens."
Index-linked saving certificates are attractive for both basic and higher-rate taxpayers, offering a tax-free return that beats inflation.To read more about savings, click here.
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