On 4 August The Bank of England announced a 0.25% decrease in the base interest rate. As a result, we reduced the interest rate on many of our variable Savings accounts on 1 September.

Variable rate savings accounts

The majority of our variable rate savings accounts, including variable rate cash ISAs, have been affected by the Bank of England base rate reduction.

Fixed rate savings accounts

If you have a fixed rate savings account, the interest rate will remain the same for the term of your account. The certificate we sent when you opened the account confirms this rate, which is also shown in the Internet Bank.

Base Rate FAQs

The majority of our variable rate savings accounts, including variable rate cash ISAs, have been affected by the Bank of England base rate reduction.

Exclusions to this are: Flexclusive Regular Saver, Regular Saver, FlexOne Regular Saver, Help to Buy: ISA, Save to Buy, Save to Buy ISA, Champion Saver & Champion ISA* accounts.

Please note: if you hold a Regular Savings or Monthly Saver account, these have been affected by the rate reduction.

We have given 14 days' notice if the reduction(s) in the interest rate on your savings account reached 0.50% or more in any rolling 12 month period, provided your balance was £100 or greater at the time of mailing.

Following the decision on 4 August 2016 by the Bank of England to reduce the base rate from 0.50% to 0.25%, we have reduced the rates on the majority of existing variable rate savings accounts by 0.25% gross p.a.

No. On this occasion, none of our interest rates have reduced to below 0.10%. For example, if your savings account previously paid 0.25%, it will have been reduced to 0.10%.

Accounts opened on or before 11 August 2016

Most of our existing variable rate savings accounts and those opened on or before 11 August had their rate reduced on 1 September.

Accounts opened from 12 to 31 August 2016

Most accounts opened between 12 and 31 August 2016 already reflected the Bank of England’s 4 August base rate reduction. These accounts were therefore not subject to any changes on 1 September.

Exceptions to this are Smart account and Smart Junior ISA which reduced in line with the base rate on 1 September regardless of when they were opened.

You can confirm your new interest rate by visiting the Internet Bank and Banking App (if registered), by popping into your nearest branch or by calling 0800 30 20 11 for further information.

We know that low interest rates make it harder for you to grow your savings and the Base Rate change could prompt you to consider whether you could get more from your money.

If you’d like to change your account(s) or open a new one you can pop into your local branch. Alternatively, if you have any questions about this rate change please get in touch on 0800 30 20 11 and we’ll be happy to help.

The interest rate for Champion ISA and Champion Saver will continue to be based on the five highest branch-based rates from eight high-street providers as per the account Terms and Conditions.

This means that each month, we take the average of the five highest branch based rates. You'll receive at least this rate with your Champion ISA or Champion Saver account from the 1st of the following month.

As stated in our Savings Promises "we won't offer 'brand new customer only' savings accounts." We'll continue to reward our existing customers and ensure that our rates reflect market pricing.

In accordance with the Terms & Conditions, rates on fixed rate products remain unchanged.  We will continue to review our rates for new fixed rate products in line with market pricing. 

Yes – the decrease in base rate has been applied automatically to affected accounts.

If a product has a variable interest rate, this means that we can change the interest rate from time to time, in accordance with the Terms & Conditions.

If you had a Fixed Rate Bond or ISA and did not provide maturity instructions, your money will have transferred into either Fixed Term Bond Maturity or Fixed Rate ISA Maturity, respectively. The reduction in interest rate has also been applied to these accounts. If you have now decided what you would like to do with your funds, please pop into branch where they will be happy to help.

If you have a Fixed Rate Bond or ISA due to mature soon, please refer to your maturity pack for confirmation of the rates currently available to you. Remember that if you return your instructions to us by the date of your maturity, we guarantee the rates in your pack.

*The interest rate for Champion ISA and Champion Saver will continue to be based on the five highest branch-based rates from eight high-street providers as per the account Terms and Conditions. This means that each month, we take the average of the five highest branch based rates. You’ll receive at least this rate with your Champion ISA or Champion Saver account from the 1st of the following month. Find out more about how the Champion ISA and Champion Saver interest rate is calculated.

FSCS logo

Financial Services Compensation Scheme

Protecting your money

Find out more
Contact us

Give us a call

If you can't find what you need on this page, then call us on 0800 30 20 11 and we'll be happy to help.