Savings update: NS&I and Santander raise Isa rates

Published by Sylvia Morris on 06 March 2019.
Last updated on 06 March 2019

National Savings and Investments has raised the rate on its Direct Isa by 0.15 percentage points to 0.9% for both new and existing customers.

Meanwhile, Santander is the first large bank to offer a competitive cash Isa to savers. Its online easy-access eISA pays a top 1.5% to those who have a Select or World 123 account with the bank. 

Otherwise, the rate is a lower at 1.1%, which is still a competitive rate from one of the big banks. The rate includes a bonus paid for the first 12 months.

Non-Santander customers will do better with smaller banks. Virgin Money pays 1.45% on its Double Take E-Isa, but limits you to two withdrawals a year.  

The highest rate with no withdrawal restrictions or bonus is 1.44% available from OakNorth Bank, followed by 1.43% from Shawbrook Bank.

On fixed-rate cash Isas, Charter Savings Bank has raised its rate so that it now pays a top 1.75% for one year, closely followed by Shawbrook Bank at 1.74%, and Cynergy Bank at 1.73%.

For two years, Charter Savings Bank pays a top 1.95%. Santander’s new account pays 1.9% for two years to both its Select and World 123 customers.

On easy-access taxable accounts, Shawbrook Bank pays 1.43%, while both RCI Bank and Ford Money pay 1.42%.

Goldman Sachs Marcus account and Cynergy Bank both offer a higher rate of 1.5%, but both banks pay a bonus for the first year. With Marcus, it’s 0.15 percentage points, and with Cynergy it’s 0.5 points.

Virgin Money also pays 1.5%, but it limits you to two withdrawals a year from the Double Take E-Saver account.  

On fixed-rate bonds, the top one-year rates have edged down slightly to 1.95% from 2% last week. The top 1.95% is available from Charter Savings and OakNorth banks.

Charter Savings Bank pays 2.1% fixed for 18 months, while you can earn 2.28% for two years with OakNorth.

Leave a comment