Halifax's variable rate

HALIFAX Building Society is launching a one-year investment account offering a variable rate of interest, currently 7 per cent gross. Early withdrawal penalties are six months' interest on the sum taken out.

West Bromwich has launched the highest-paying escalator bond in the market, paying 7.5 per cent gross in year one, rising to 11.5 per cent in the fifth year.

Bradford & Bingley is launching a second issue of its own five-year bond, offering 6.75 gross in year one and rising to 10.75 per cent in the final year. The bond has been amended, allowing interest to be rolled up rather than paid out.

Chelsea Building Society is cutting interest rates on its Classic Account, from 6.25 per cent gross on sums above pounds 25,000 to 6 per cent. On smaller sums the rate will be 5.75 per cent.