British savers are once again facing a difficult uphill battle, as inflation could mean their money will lose its value.

Their savings accounts are starting to shrink, all due to the current state of inflation and interest rates.

Interest rates are being cut across the board following the Bank of England's decision to lower the base rate to 4% on 7 August.

In June, interest rates climbed to 3.6%, an 18-month peak, while the Bank of England projected they will hit 4% by September.

Major high street banks, including NatWest and Santander, have reduced rates on various savings accounts, with the latter's Junior ISA rate down by 0.10 percentage points to 2.7%.

NatWest reduced its Cash ISA by 0.25 percentage points and Help to Buy ISA by 0.20 percentage points.

Rachel Springall from Money

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