Savings rates are at their highest for two years - this is how you can beat inflation

Savers willing to lock their money away for a guaranteed return are being encouraged by experts to make the most of rising rates on accounts.

Fixed savings rates – where you get guaranteed interest for a set period of time – are continuing to climb across the market. Average one-year fixed rates have risen for six consecutive months, while longer-term fixed rates have risen for a seventh.

This continued upward movement is “positive news” for savers, with the majority of accounts offering more than inflation – currently 2.9 per cent – according to Moneyfacts.

Shorts

But why are they going up? And what can you do to take advantage? We take a look below.