Until recently, cash savers were winners from the financial crisis. Competition for deposits among banks and building societies pushed up savings rates to 7 per cent. Even as base rate reductions trickled through earlier in the year, savers who moved their money to new accounts could avoid these cuts. And on the occasions when banks have failed, savers have been bailed out above the £50,000 compensation limit.

But with the crisis deepening, three consecutive base rate cuts since October totalling 3 percentage points have taken a heavy toll on the returns available.