A "unique" tax free savings account has been launched by Leeds Building Society .
The society says its "Inflation Buster Bond " is linked to the retail prices index and, because of this, the savings account offers a guaranteed real return on any investment .
Karen Wint, general manager of marketing and customer services for the firm, said: "Savers have seen their real return eroded with decreasing interest rates and RPI running at an average of 4.26 per cent in 2007.
"As a result demand for our previous Inflation Buster Bonds has been very positive and we are now launching another tax free version, which is extremely attractive in the individual savings account (Isa) market."
The savings account is guaranteed to pay an interest rate of 2.5 per cent more than the RPI at any given time.
According to Nationwide Building Society, people who do not use their full Isa allowance this year face paying out a total of more than £225 million in extra tax.
Building society launches inflation linked savings account
Building society launches inflation linked savings account
Mon, 10 Mar 2008
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