Nationwide has introduced new rules and rate changes to its Individual Savings Accounts (ISAs), promising customers potential earnings of up to £4,822. This week, the building society, which operates branches in Birmingham and competes with major banks such as HSBC UK, Santander, Lloyds, NatWest, and Barclays, announced increased rates on its fixed-rate cash ISAs.
The revised ISA offerings include a one-year fixed cash ISA paying 4.5% AER, a two-year fixed option at 4.55%, and both three- and five-year fixed ISAs delivering the highest rate of 4.6% AER. According to recent data from Finder, the average UK saver holds around £19,214 in savings.
Applying these rates, a saver depositing £19,214 into Nationwide’s one-year ISA would earn approximately £860.58 in tax-free interest over 12 months. Opting for the three-year fixed ISA at 4.6% AER could generate £2,762.37 in tax-free interest during the term, while the five-year fixed ISA could return as much as £4,822.23.
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Richard Stocker, Head of Savings at Nationwide, commented on the changes, saying, “We’re pleased to launch higher rates across our Fixed Rate ISA range, catering to both short- and longer-term savers. For customers seeking more flexibility, our Triple Access ISA is a valuable alternative.”
Nationwide emphasized that all ISAs and rates are accessible in branches, by phone, or online, highlighting their commitment to customer choice through the “Branch Promise.” Additionally, Nationwide offers an in-app budgeting tool to help customers manage their finances more effectively.
It’s important to note that these new rate products will replace older versions, which will no longer be available for new account openings after May 6, 2026.
The full range of current ISA rates includes:
- 1 Year Fixed Rate Cash ISA at 4.50% AER (tax-free, fixed)
- 2 Year Fixed Rate Cash ISA at 4.55% AER (tax-free, fixed)
- 3 Year Fixed Rate Cash ISA at 4.60% AER (tax-free, fixed)
- 5 Year Fixed Rate Cash ISA at 4.60% AER (tax-free, fixed)
- 1 Year Triple Access ISA at 3.30% AER (tax-free, variable, reduces to 1.05% after four or more withdrawals)
- 1 Year Single Access Saver at 3.30% AER (gross, variable, reduces to 1.05% after four or more withdrawals)
These changes present savers with attractive, tax-free opportunities to grow their savings with flexible options aligned to different financial goals.