Announcing a rate increase without mentioning a corresponding rate increase for deposit holders. Feels a little cold. I am sure the bank are acutely aware the amount of their considerable mortgage back book who are on short term fixed rates, who are about to roll off and now move to a much higher rate. With little in terms of real competition, customers unfortunately have limited options. Although customers do have some, and should seek independent advice on what is best suited for them. Your bank is certainly not going to tell you!
More competition is needed, new entrants should be encouraged, existing non bank lenders supported to enable competition, Credit Unions could help but their track record on delivering large scale projects is poor and they need to rely on more than just "we are nicer than the banks", I would hope for "better than the bank" as the bar isn't that high!!
