The top fixed savings rates have seen significant falls over the past month, according to a new report.

The majority of top savings rates have seen significant falls since 22 August, with fixed ISA and non-ISA accounts seeing the biggest falls, according to personal finance data firm Moneyfacts.

Fixed bonds also continued to follow a downward trend, particularly one-year fixed bonds and their ISA counterparts.

According to Moneyfacts savers can expect 1% less interest than the leading rates in September 2023.

The report added that the gap between shorter and longer-term savings is slowly beginning to close.

ISAs have also seen rate reductions across the board, with the top easy access ISA now having dropped below the 5% mark.

Moneyfacts said savers should act now to secure inflation-beating rates.

Caitlyn Eastell, spokesperson at Moneyfacts, said: “The majority of top rates have seen significant falls since the previous inflation announcement, with fixed ISA and non-ISA accounts taking the biggest hits.

“Providers have been busy passing on the reduction in interest rates to their savings deals, so it would be wise to grab a market-leading rate while there are still some sitting around the 5% mark.”

According to the report there are currently 1,606 savings accounts that beat inflation:

• 277 easy access accounts
• 185 notice accounts
• 220 variable rate ISAs
• 290 fixed rate ISAs
• 634 fixed rate bonds

CPI inflation remained at 2.2% in August, unchanged from the previous month.