Question to the HM Treasury:

To ask His Majesty's Government, further to the Written Answer by Baroness Penn on 13 June (HL8243), what assessment they have made of whether or not banks are passing on higher interest rates to savers; and what discussions they have had with banks on this matter.

The Treasury is committed to ensuring people are supported to save, and can access a wide range of competitive savings products.

The Financial Conduct Authority (FCA) monitors the speed and extent of banks’ pass-through of interest rate rises to their savings products, and has made clear that firms should be able to justify these decisions. Banks are expected to pass through higher interest rates to savers as they do to mortgage holders, and we are working closely with the FCA on this important issue.