HM Treasury has lowered the bonus rates payable on sharesave (save-as-you-earn) schemes in response to falling market swap rates.
The new rates will come into effect on 17 February 2009 and are lower than those introduced in December 2008
Employees who sign up to plans after this date will now receive a 1.08% bonus, rather than 2.67% on a three-year plan.
Five-year plans will now attract a 1.67% compared to 3.04%. Seven-year plans will benefit from a 1.98% bonus rate, rather than December’s rate of 3.20%.