Credit card providers have increased their average rate of borrowing from 17.2% to 17.6% since May even as the Bank of England (BoS) has almost halved its base rate, according to research from the Independent.

Store cards, issued by retailers, now have an average rate of 25%, adding that Britons owe more than £200bn in unsecured debt. The higher rates will affect shoppers in the run-up to Christmas, as they attempt to defer the cost of present buying by turning to plastic.

Since May, the average annual percentage rate for credit cards has climbed from 17.2 to 17.6 per cent, according to a study of 240 credit cards by the banking research group Defaqto. The NatWest credit card has risen from 13.9% to 16.9%, while HSBC’s credit card and the Virgin Money Mastercard have both climbed 1% to the same mark.

Credit card companies have also raised charges for withdrawing money from cash machines in Britain and abroad. The average rate has risen from 24.4% in May to 25.2% now, according to the price comparison website MoneyExpert.com.

Store cards have also hit a peak of 25% and the high street chains Principles, Karen Millen and Oasis have raised charges for their in-store cards by 4% to 28.9%.

Last year the Competition Commission ruled that store card APRs were too high. Now providers that charge more than 25% must point out on monthly statements that cheaper credit may be available elsewhere.