Santander UK has unveiled a new range of Fixed Rate ISAs, offering savers a competitive tax-free return just as the tax year draws to a close.
With interest rates fluctuating and many providers adjusting their offers, Santander’s latest launch comes at a time when savers are reviewing their options.
The bank is also introducing a £50 cashback e-voucher for customers who transfer at least £10,000 from a non-Santander ISA, a move likely to attract those looking to maximise their savings before the new tax year begins.
The new range of competitive ISAs include:
- One Year Fixed-Rate ISA – 4.15 per cent AER/tax-free (fixed)
- 18 Month Fixed-Rate ISA – 4.05 per cent AER/tax-free (fixed)
- Two Year Fixed-Rate ISA – 4.00 per cent AER/tax-free (fixed)
Saket Jasoria, Head of Savings at Santander UK, said: “With the new tax year just around the corner, we know many will be considering how they can make their money work harder for them.
Santander launches new ISA deals
GETTY/PA
“That’s why we’re pleased to launch our new Fixed Rate ISAs, giving customers tax-free competitive returns, along with our £50 e-voucher cashback offer as an added treat this spring.”
The £50 e-voucher offer applies to those transferring at least £10,000 into a Santander Fixed Rate ISA from another provider. Britons can choose a £50 e-voucher from one of over 100 retailers.
Customers will receive their e-voucher code within 30 days of the transfer being completed, and the voucher can be redeemed at over 100 retailers, including supermarkets, clothing stores, and restaurants.
Santander is part of the industry ISA transfer scheme, ensuring a smooth process for those moving their savings from another bank or building society.
To make sure the new ISA is open by April 5, customers will need their application and ID (if requested) before April 2.
Applications received after this date may not be processed in time for the 2024/25 tax year.
The new ISAs can be opened online or in branch, making them accessible to a wide range of savers.
Rachel Springall, a finance expert at Moneyfactscompare.co.uk, highlighted the importance of reviewing savings options before the end of the tax year.
She said: “Cash ISA season has been in full swing, with several providers increasing fixed rates over the past week. However, some providers have also cut their variable rates.
“Savers would be wise to compare the latest deals and switch if they are getting a raw deal.”
LATEST DEVELOPMENTS:
For those considering their ISA allowance, the annual limit remains £20,000, covering all types of ISAs, including cash, stocks and shares, innovative finance, lifetime, and help-to-buy ISAs.
The allowance resets at the start of the new tax year, meaning any unused portion cannot be carried over.
As the deadline approaches, Santander’s latest offer positions itself as a strong contender for those looking to lock in a competitive rate and benefit from added rewards for switching.
More details about the Fixed Rate ISAs and the transfer process can be found on the Santander website or in branch.
