'Many savers may be penalised for making withdrawals'
A significant amount of money deposited in savings accounts by UK consumers, potentially including those saving for children, is subject to withdrawal penalties.
This is according to research conducted by Sainsbury's Finance, which revealed that a total of more than £165 billion is held in accounts which impose fees for taking out money.
It was also found that around a quarter (24 per cent) of the top 50 instant/easy access savings accounts restrict the number of withdrawals that can be made.
"Given the rising cost of living and economic difficulties, it may be worth moving your savings to an account without penalties if you think you may have to access your savings," advised Helen Cook, head of savings at Sainsbury's Finance.
Meanwhile, figures produced recently by HM Revenues and Customs and the Department for Work and Pensions revealed that the amount of money deposited in individual savings accounts has risen seven-fold since 2000.
