Historically low deposit rates paid by the banks are causing savers to move some of their money – not to under their mattresses – but to the State-run prize bond draw, where no interest is paid but where regular prizes of up to €1m can be won.

An additional €130m was transferred into prize bonds during the six month period to the end of June, bringing the total value of the fund to an all-time high of €2.3bn and up 12 percent on the previous June.

Ironically the value of the prizes on offer, which is linked to interest rates,has fallen sharply as more money piles into bonds.

Late last year, the effective interest rate on offer was cut from 1.6 percent to 1.25 percent - though still ahead of the rate most banks are paying for on-demand accounts.

The lower interest rate reduces the annual prize fund available for distribution to €29 million a year, down from €46 million just three years ago.