However, one in three said they have no idea what the rate will become this time next year.
When asked about inflation, the majority of over 50s believe that it will be a lot higher than it currently stands. On average, people believe the consumer price index will be around 1%, compared to -0.1% which is where it sat when the online survey was conducted.
Two fifths of over 50s have a positive outlook for 2016 as they believe the overall value of Britain’s 100 biggest companies listed on the Stock Exchange will increase.
Men are more optimistic than women as they’re more than twice as likely as women to think the FTSE 100 will increase (54% and 24% respectively).
Jo Fowler, head of product, Saga Personal Finance, commented:
“This year, we’ve seen some highs and lows, from the FTSE 100 reaching an all-time high to the Chinese stock market taking a tumble; events that even financial experts couldn’t have predicted at the start of 2015. Despite these events some over 50s correctly predicted where the market would lie now.
“The majority of our customers have a positive outlook for 2016 with many hoping the base rate will increase so they can make extra income on their savings. It’s great to see our customers are financially savvy and thinking about how to make their money work as hard as possible for them.”
