The Bank of England has slashed interest rates to 0.1%

I said it last week & I'll say it again! Governments have allowed this virus to create a zombie economy that is walking toward a cliff edge. The social & economic cost of a total collapse is incomprehensible. Unemployment will be on a scale to that of the great depression following the Wall Street crash of 1939. I can't  comprehend  what the next 90 days will look like. 

You can only have negative deposit rates if you prevent people from having cash. One supposes that project must be on Doctor Evil's The Bank of England's 'to do' list. In India they recently withdrew large demonination denomination bank notes in a largely cash-based (informal ) economy. It's a headline today but it's all part of a larger Agenda of course.

Really ??

What about if rates shot up to 5% do you think they should raise your fixed Rate or if you had a fixed savings rate with a bank do you think they should cut that as well ?

Unfortunately you can't have it both ways im afraid.

This would cost banks billions of pounds and would see many go under.  That would not equate to kick starting the economy but would instead lead to cessation of all new lending and would lead to people queuing to get their cash out (socially distanced I'm sure!). 

Banks hedge their mortgage portfolios.  For the fixed rate element they take funding that matches the maturity.  They can not break these contracts (their liabilities) but this would decimate their assets.

Currently, most currency in issue is commercial bank money, whereas central bank money is available only in the form of bank notes/coins. The Bank of England has put into play the idea of issuing “central bank digital currency”. While this could have advantages, it could also be a route to a complete loss of the ability to remove cash from the system (other than by spending it), and the corollary loss of the possibility of private transactions taking place without leaving a record.

However, the conclusion for the present time has been that bank notes/coins are an essential part of the economic fabric for many people, especially many who would be categorised as “vulnerable”, and that, if anything, the government and other bodies will need to act to ensure cash infrastructure (facilities to obtain and spend cash) remains, even after it becomes uneconomic. It is predicted that the increasing use of electronic payment methods will render cash infrastructure uneconomic in the near future.

www.bankofengland.co.uk/research/digital-currencies

For the near term, I believe cash access will be protected, but that the subsidy that will be provided will lead to it being identified as an unwanted cost to society, and a drive for “financial inclusion” that will provide everyone with non cash options. The existence of cash will then be under threat.