Aviva product cash account interest rate to reduce
We will reduce the interest rate on our product cash account from 0.25% to 0.05% pa, annual equivalent rate (AER) from 6 December 2016.
This follows the Bank of England’s Monetary Policy Committee (MPC)’s Bank Rate reduction to 0.25% in August, as part of a package of measures to support economic growth following the UK’s vote to leave the European Union.
The cash accounts of the Investment Portfolio, ISA Portfolio and Pension Portfolio are designed to hold un-invested cash on a short-term basis. Given this latest interest rate reduction, you may find it prudent to review your client’s cash account balances.
Information about the revised interest rate will be communicated in your clients’ bi annual statement, which will be issued at the end of January 2017.
If any further changes occur, we will let you know as soon as possible.