Offset mortgages could be the answer for savers who are losing out because of high inflation and low savings rates, financial research company Defaqto has suggested.

There are currently 249 offset mortgages available and Defaqto data shows that the average rate for a two-year fixed rate offset mortgage at 75% LTV is 3.24% and for a lifetime base rate tracker offset mortgage at 75% LTV is 3.19%.

Retail Prices Index (RPI) inflation is currently 5.2%, while Consumer Prices Index (CPI) inflation is 4.5%.

David Black, Defaqto’s insight analyst for banking, said: “If someone has a mortgage and a reasonable level of savings