Hetal Parmar, Head of Banking and Savings at Santander UK, said: “We understand saving for the future remains important to many customers, and following the recent increase to the interest rate on our 123 Current Account, we’re pleased to offer 123 World customers even more value with our new Regular e-Saver”.

Recently, the Bank of England’s Monetary Policy Committee (MPC) raised the base to one percent, a 30-year high, so Britons are reminded to look around for the best deals as interest rates for savings could also go up.

Commenting on the rise Rachel Springall, Finance Expert at Moneyfacts.co.uk, said: “As we have seen before, it can take a few months for customers to see any benefit from a base rate rise but there is no guarantee that savings providers will increase their rates.

“Should savers see 0.25 percent passed onto them, it would mean receiving £50 more a year in interest based on a £20,000 investment.