NS&I (National Savings and Investments) has launched its Direct Saver, a new savings account offering customers an easy way of managing their savings. Direct Saver is available online and by telephone - paying a variable interest rate of 2.00% AER. Customers will be able to invest from £1 up to £2,000,000 per person and manage their account online 24 hours a day and by free phone between 7am and midnight, seven days a week.

As many NS&I customers like investing via the Post Office NS&I will continue to offer a wide range of its popular savings products at Post Offices across the UK.

NS&I has set the interest rate on its Direct Saver in the same way it sets the rates on all of its savings products, by ensuring that NS&I balances three factors: delivering a fair rate to savers; fulfilling NS&I's remit of delivering cost effective funding for government; and maintaining a stable competitive position to support the stability of the wider financial services marketplace.