Best Fixed ISA Rates

The average rate paid by a fixed bond with a term over 550 days dropped to 5.11% at the start of October, according to Moneyfacts’ data. This is the first time this rate has fallen since March 2023.

This is the first time average rates have fallen in this sector since March 2023.

Rising fuel prices largely responsible for sustained, elevated inflation despite food prices falling for the first time since September 2021

Rising fuel prices largely responsible for sustained, elevated inflation despite first monthly fall in cost of food since September 2021.

The Bank of England’s Monetary Policy Committee (MPC) voted to keep the base rate at 5.25% today - the first time in almost two years the MPC have opted to keep borrowing costs unchanged.

This is the first time in almost two years the Bank of England’s Monetary Policy Committee (MPC) opted to keep borrowing costs unchanged.

Food prices are rising at a slower pace, while a fall in energy costs also contributed towards this month’s decline.

Food prices are rising at a slower pace, while a fall in energy costs also contributed towards this month’s decline.

The last time this rate was higher was November 2008.

The last time this rate was higher was November 2008.

Four high street providers, Nationwide, Santander, TSB and Virgin Money, all defended their savings rates in letters published last week. This follows correspondence from the Treasury Committee in May which criticised the banks and building societies for seemingly failing to pass increases to the Bank of England base rate on to savers.

Their responses cite current accounts and fixed products as higher-rate alternatives.

Since last Wednesday, there are now 43 more fixed rate deals which offer 5% gross or more.

Since last Wednesday, there are now 43 more fixed rate deals which offer 5% gross or more.

This is the 12th consecutive rise to the base rate since December 2021.

This is the 12th consecutive rise to the base rate since December 2021.

You now have until Wednesday to use your ISA allowance, so below we’ve listed some last-minute options.

You now have until Wednesday to use your ISA allowance, so below we’ve listed some last-minute options.

Variable rates have risen for the past 13 consecutive months - the first time on Moneyfacts’ records.

Variable rates have risen for the past 13 consecutive months - the first time on Moneyfacts’ records.

Given the heightened cost of living, should a flexible ISA be a top priority?

Given the heightened cost of living, should a flexible ISA be a top priority?

Most primary fund sectors returned a loss over the past 12 months.

Most primary fund sectors returned a loss over the past 12 months.

All average variable rates rose for the 12th consecutive month, a first time on Moneyfacts records.

All average variable rates rose for the 12th consecutive month, a first time on Moneyfacts records.

The move comes after the Government-backed institution added £80 million to the prize pot towards the end of last year.

The move comes after the Government-backed institution added £80 million to the prize pot towards the end of last year.

While clothing and footwear prices fell, rising food and restaurant prices made a partial offsetting upwards contribution.

While clothing and footwear prices fell, rising food and restaurant prices made a partial offsetting upwards contribution.

New Moneyfacts data shows average interest rates failed to rise across both one-year and longer-term fixed bonds, but variable rates rose for another consecutive month.

Average interest rates failed to rise across both one-year and longer-term fixed bonds, but variable rates rose for another consecutive month.

Savings rates rose for the 10th consecutive month for the first time since Moneyfacts records began in February 2007.

Savings rates rose for the 10th consecutive month for the first time since Moneyfacts records began in February 2007.

Falling petrol prices sees inflation drop back but increases in alcohol prices in pubs and restaurants means cost of living remains stubbornly high.

Inflation continues to take its toll on savings pots, but savvy savers could still find a better return.

UK inflation rose by an annual rate of 11.1% in October, a full percentage point more than the 10.1% increase registered in the 12 months leading to September. This is according to the Office for National Statistics (ONS) which found that energy and food prices made the largest contribution to the increase in inflation.

What the latest leap in the rate of inflation is likely to mean for your savings.

The last time this figure was higher was February 2009.

A 10-year high for the average easy access rate is one of several positive trends for savers revealed in the latest Moneyfacts data.

Atom Bank launched a market-leading nine month fixed rate bond today, paying a rate of 3.95% AER.

Short-term option for savers arrives after Bank of England says it expects inflation to drop in mid 2023.

Coventry Building Society (BS) launched eight new accounts , which include market-leading offers for its one, two and three year fixed ISAs. All three accounts calculate interest daily and pay it monthly or yearly.

Coventry Building Society (BS) launched eight new accounts today, including market-leading offers for its one, two and three year fixed rate ISAs.

Top savings deals are on the rise across various sectors, as providers compete for a place in the spotlight. Still, the Consumer Price Index (CPI) rose to 9.1% during May, from 9.0% in April meaning there is still not a single deal which is able to outpace inflation.

Top savings deals are on the rise across various sectors, as providers compete for a place in the spotlight.

The average one-year fixed bond rate experienced the highest month-on-month rise since our electronic records begun in February 2007. Increasing by 0.29% to 1.53%, the average one year bond now stands at the highest rate since October 2013 according to the latest Moneyfacts UK Savings Trends Treasury Report.  On the ISA market, the average one-year fixed ISA now stands at 1.21%, its highest point since November 2019 (1.21%) and had the biggest month-on-month rise seen since August 2011.  

The average one-year fixed bond rate experienced the highest month-on-month rise since our electronic records begun in February 2007.

The latest data from the Office for National Statistics (ONS) found that household savings during the pandemic reached their highest level between April and June 2020. The household savings ratio, which calculates the amount of money households have saved in relation to their total disposable income, peaked at 23.9% in this period. In contrast, this figure was recorded at 6.8% between October and December last year.  

The latest data from the ONS found that household savings during the pandemic reached their highest level between April and June 2020.

Paragon Bank has launched a new issue of its Triple Access Cash ISA at a market-leading rate of 1.20% today.   “We are keen to support savers and we are therefore pleased to relaunch our Triple Access ISA with a market-leading rate, building on our already competitive ISA range and features,” said Derek Sprawling, Savings Director at Paragon Bank. However, its current increase means it now leads previous market-leading providers Marcus by Goldman Sachs® and SAGA by 0.05%.

Paragon Bank has launched a new issue of its Triple Access Cash ISA at a market-leading rate of 1.20% today.  

After a lengthy absence, ISA season is back around the end of a tax-year with the market seeing the highest uplift in average rates month-on-month in a decade. Those savers who are comparing deals to utilise their 2022/23 allowance will find much better rates on average compared to a month ago, both for variable and fixed ISAs, according to the latest Moneyfacts Savings Treasury Report.

After a lengthy absence, ISA season is back around the end of a tax-year with the market seeing the highest uplift in average rates month-on-month in a decade.

Inflation has continued to rise, making it an impossible task for cash savers to protect their cash from its eroding impact. Acquiring the best savings deal is crucial to soften its eroding impact and the latest analysis from Moneyfacts.co.uk reveals the top rate deals available to savers searching for a competitive return. • The Consumer Price Index (CPI) rose to 6.2% during February, from 5.5% in January. • The number of deals able to outpace inflation has not changed since last month. There is not one standard savings account that can outpace 6.2%*. • The predicted rate for inflation during Q1 2023 is 5.2%. • In March 2021, 326 deals (seven easy access accounts, 23 notice accounts, eight variable rate ISAs, 78 fixed rate ISAs and 210 fixed rate bonds) could beat 0.4% (February 2021 CPI) and in March 2020, 26 deals (all fixed rate bonds) could beat 1.7% (February 2020 CPI)*.

Inflation has continued to rise, making it an impossible task for cash savers to protect their cash from its eroding impact.

The decision could have an effect on your savings, ISA, mortgage, and disposable income. The Bank of England (BOE) raised interest rates today from 0.50% to 0.75%. This decision can be largely owed to Russia’s invasion of Ukraine, which will likely push inflation in the UK higher. “Higher interest rates are supposed to help cool inflation, but prices have risen due to reasons largely outside of the Bank of England’s and the Government’s control - the cost of petrol, food and other day-to-day items is rising because of global events,” said Annabelle Williams, Personal Finance specialist at Nutmeg. “Although this is a small increase to interest rates which have been hovering close to record lows for many years now, many will be looking to see if the increase is passed on to consumers through higher savings rates,” she said. This is the first time the Monetary Policy Committee (MPC) has raised rates on three successive meetings in more than two decades. With this in mind, how can these rate increases affect your personal finances?

The decision could have an effect on your savings, ISA, mortgage, and disposable income.

The Bank of England has today increased base rate by 0.25% up from 0.50% to 0.75%. Moneyfacts has analysed the average rates offered across savings and mortgages and considers what this decision may mean for consumers moving forward.

The Bank of England has today increased base rate by 0.25% up from 0.50% to 0.75%.

The building society will increase its 1 Year Triple Access Online ISA rate to entice savers to invest before the end of the tax year. From tomorrow, Nationwide Building Society will be upping the interest rate on its variable rate 1 Year Triple Access Online Individual Saving Account (ISA) from 0.25% to 0.70% Annual Equivalent Rate (AER). “Savers will often wait until this time of year to fully utilise their ISA allowance so, with the end of the tax year fast approaching, we have decided to increase the rate on our Triple Access Online ISA,” said Tom Riley, Director of Banking and Savings at Nationwide Building Society.   The increased interest rate means its easy access ISA offers stronger competition among other mainstream banks. The increased rate is now on a par with the accounts offered by Marcus by Goldman Sachs® and SAGA.

The building society will increase its 1 Year Triple Access Online ISA rate to entice savers to invest before the end of the tax year.

Leaving their savings in a current account rather than an easy access ISA is costing British savers £2 billion in interest. Recent data from Yorkshire Building Society suggests that UK savers are missing out on £2 billion in interest by not switching their Current Account savings to Easy Access Individual Savings Accounts (ISA). “It’s no secret that savers are having a tough time at the moment with unfavourable market conditions,” said Chris Irwin, Director of Savings at Yorkshire Building Society. “Making the switch from low-paying current accounts into an accessible ISA is one way savers can make their money work harder but also support those who value access to their funds throughout the year,” he explained. Currently, there is £455 billion in current accounts across the UK, according to CACI data. With the average account holding £5,600, savers are only accessing an average interest rate of 0.06%, the Yorkshire Building Society said.

Leaving their savings in a current account rather than an easy access ISA is costing British savers £2 billion in interest.

Savers will be disappointed not to see their interest increases keep up with inflation. “Savers have been dealt another blow this month as inflation rises once more and is unbeatable with any standard savings account,” said Rachel Springall, Finance Expert at Moneyfacts. At the time of writing, there is not one savings account which can outpace the current CPI. Furthermore, the latest Moneyfacts data shows that average savings accounts have been marginally increasing over the past six months, but not as fast as inflation. The notice account increased interest rates on average by 0.06 percentage points, from 0.47% gross to 0.53% gross, in the past six months. In comparison the 5-year fixed rate account increased interest on average by 0.34 percentage points, from 1.17% gross to 1.51% gross, in the same period. This means that the money savers have earned is becoming less valuable. In contrast, CPI stood at 3.1% in September 2021, which is 2.4% lower than the current rate. “There are still savers out there waiting for the December 2021 base rate rise to be passed onto them, let alone the most recent uplift of 0.25% a couple of weeks ago. Those savers with the patience to wait may wish to reconsider their loyalty, particularly as they will not find a high-street bank featured in the top rate tables,” said Springall. Those with a vested interest in an Individual Savings Account (ISA) will experience similar disappointment in the latest inflation rise. Rates in the ISA market are continuing to stagnate, according to the latest Moneyfacts Treasury Report, which means you could wait for a better deal if interest rates rise in the coming weeks.

The latest Consumer Price Index (CPI) rose to 5.5%, the highest it has been recorded in the past three decades. So how will this impact your spending habits?

The savings headline from yesterday’s budget was the new green savings bond that the Government is due to launch later in the year, but this was not the only part of the budget that impacts savers

The savings headline from yesterday’s budget was the new green savings bond that the Government is due to launch later in the year

The June Consumer Prices Index (CPI) figures, released today, show that inflation has risen to 0.6%, up from 0.5% during May, and the first inflation increase since January

The June Consumer Prices Index (CPI) figures, released today, show that inflation has risen to 0.6%, the first inflation increase since January

Savers continue to face a challenging market as the number of savings products available has fallen to its lowest level on record and average rates across all charts are below 1.00%

The number of savings products available has fallen to its lowest level on record and average rates across all charts are below 1.00%

Consumers should be aware that although inflation has dropped to 1.5% today, savers wanting long-term inflation-beating rates should consider locking into a long-term deal now or may find their money eroding over the next few years

Consumers should be aware that although inflation has dropped to 1.5% today, savers wanting long-term inflation-beating rates should consider a long-term deal

As Remembrance Sunday approaches, Coventry Building Society has added two new accounts to its savings range in support of The Royal British Legion.

As Remembrance Sunday approaches, Coventry Building Society has added two new accounts to its savings range in support of The Royal British Legion.