But the banking arm of insurance giant Prudential has said that demand was slowed by restricting new accounts to the Internet only.

The bank took £1bn in the last three months, marking a slowdown from the £6bn taken in the first nine months of the year.

But Egg chiefs said the slowdown had been expected and deposits were still rising at an "encouraging rate".

Other internet products from Prudential, the UK's largest insurance and pensions group, have proved equally sucessful. More than 50,000 people have taken up Egg's Internet visa card in the first four weeks.

But Prudential chief executive Peter Davis continued to play down talk of a float.

"We've made no decision and nor are we likely to for a little while," Mr Davis said. Some analysts have said Egg could be valued at as much as £3bn.

Asian boost

Prudential saw an acceleration of new business growth in the third quarter, triggered by a rebound in Asian business.

New Asian business rose 358% to £559m, while Britain's new business rose 66% to £5.9bn.

The company's total new life, pensions and investment business rose 60% to £9.7bn in the nine months to 30 September. This compares with 40% growth in the first half of 1999.