Bank of Ireland enhances Regular Savings offer - New rate of 6.00% on offer to all new regular savers

SSIA Spending Splurge a Myth ? Customers choosing to continue the savings habit

Bank of Ireland is delighted to announce a new rate of 6.00%* on new regular savings to its Special Bonus Saver Account. This enhanced regular savings offer is open to all customers and is in response to the significant volume of matured SSIA holders, who are reported to be continuing their savings habit with the Bank, currently almost 60%.

The savings account will appeal to both SSIA savers and those who may have missed out on the scheme and are now looking to capitalise on the power of regular saving. The impressive new variable rate, which will increase in line with anticipated ECB rate increases, will ensure Bank of Ireland cements its position as the bank of choice for consumers looking for a competitive, yet flexible savings option.

In its third tranche of comprehensive SSIA customer research, Bank of Ireland is first to market with unique insights into the real saving and spending activities of the matured SSIA customer:

Commenting on the latest research and enhanced regular savings offering, Ronan Headon, Head of Savings, Bank of Ireland, said;

"Our customers have been clearly bitten by the savings bug, in fact the average monthly savings amount of matured SSIA customers continuing to save is now well above the SSIA maximum at €270. This coupled with the long-term view of their savings habit ties in with our previous research, which showed that the regular SSIA payment caused no financial difficulty for 8 out of 10 customers.

This appetite for continued regular savings led us to review our regular savings offer so that it is both open to everyone, and has a compelling new regular savings rate of 6.00%. The success of the SSIA scheme has really been two-fold; it has embedded a strong savings culture within those who availed of the scheme, and it has highlighted the benefit of regular savings to those who did not. Our enhanced regular savings account will suit all types of saver, as it is a flexible 'no-strings attached' offer open to everyone."

Of the customers that are spending some of their lump sum, 40% stated that they have spent it on home improvements, 20% have used some to clear debt, and 15% have treated themselves to a holiday.

*Special Bonus Saver Account offers a variable rate of 6.00% EAR for new regular savings is available to all customers from 1st December 2006. In addition, the lump sum rate, applicable to SSIA holders only will increase from 3.75% to 4.00% EAR for the first 3 months, and then revert to the ECB rate.

Research conducted by Ipsos MORI during September and October 2006 with a sample of 500 matured Bank of Ireland Group SSIA customers. Quotas were applied to the sample to ensure that the customers were representative of Bank of Ireland's overall share of SSIA customers ? 70% deposit SSIA customers and 30% equity SSIA customers.

ENDS

Notes to Editor:

Other interesting statistics:

For further information contact:

Laura Erskine
Public Relations Manager
Bank of Ireland Life
Tel:01 6172586
Mob:086 8562929

Sharon McDonnell
Group Consumer Communications Manager
Bank of Ireland
Tel:01 604 3750
Mob:087 226 9324