It is the first provider to break the 6 per cent per cent marker.
BM’s new product is a staggering 0.33 per cent above the rate of its current one-year fixed rate bond and stands an impressive 0.80 per cent above base rate.
From 20 January 2007, savers will be able to secure a market-leading fixed rate of interest at 6.05 per cent gross/AER for a full year with Birmingham Midshires’ One Year Fixed Rate Bond.
The minimum balance is £1.
The One Year Fixed Rate bond gives customers the option of a flexible interest payment where they can be paid annual or monthly interest (monthly interest at 5.89 per cent gross).
Birmingham Midshires director of savings and investments Jason Robinson says: “Following last week’s base rate increase, Birmingham Midshires is keen to pass on the most competitive rate possible to savers. Customers should move quickly to grab this market-leading rate.”