The independent financial comparison website says the average credit interest rate on all current accounts has risen to nearly two per cent from 1.6 per cent a year ago.

And the proportion of current accounts charging under one per cent for positive balances is falling – 45 per cent now pay this pittance compared with 56 per cent a year ago.

However, the website claims that banks should be doing more to reward customers who stay in credit, and says too many current account providers are not offering competitive interest rates for their customers.

Sean Gardner, director of MoneyExpert.com, says, ‘It’s encouraging to see banks getting their houses in order and offering better interest rates for customers with positive balances.

‘But let’s be honest – almost half of all accounts reward customers who are in the black with less than one per cent annual interest. That’s an appalling return. Given there are accounts out there offering ten times that amount of interest, customers should not settle for a raw deal.’

According to the research, only 15 current accounts from six banks offer credit interest of above five per cent. Lloyds TSB recently increased its rate of credit interest from four per cent to six per cent AER on its Plus account. However, most high street banks charge just 0.1 per cent interest on at least one of their standard current accounts.

The average rate of interest among accounts paying more than one per cent AER is now 3.57 per cent, and MoneyExpert.com says this should be the new benchmark for consumers looking to switch current accounts.

‘This is of course not forgetting the importance of customer service and other perks,’ adds Gardner. ‘We wouldn’t necessarily recommend buying purely on price for your current account, as it’s not just the account but the bank that you’re buying into. You need to be sure it’s the right place for your money.’