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Britain’s biggest building society has unveiled some new Isa products and hiked some rates as competition ramps up ahead of the new tax year in April.
Nationwide Building Society has launched a one-year single access Isa with a rate of 4.00%, as well as a one-year single access saver with a rate of 4.00% AER (annual equivalent rate).
The interest rate is variable, which means it can go up or down.
Savers must limit themselves to one withdrawal over the 12 months, or the rate drops to a variable rate of 1.05% AER for the rest of the term.
Nationwide said on Friday it has also increased rates on fixed-rate cash Isas, including a five-year fix at 4.25%. It was previously offering a five-year fixed rate of 4.00%.
Caitlyn Eastell, a personal finance analyst at Moneyfactscompare.co.uk, said: “With the new tax year fast approaching, Isa season is coming into full swing.
“Typically, this is when providers will compete most fiercely to make their deals enticing to new customers.
“This year is gearing up to be particularly competitive because the 2026-27 tax year marks the final year for those under 65 to utilise their full £20,000 cash Isa limit.
“Nationwide Building Society’s latest hikes to their fixed-rate cash Isas are enough to push a handful of them into the top rate tables, with the five-year option now paying a market-leading 4.25%.
“Fixed-rate accounts may be a popular option among savers to protect their returns for longer. While short-term base rate expectations are volatile, markets are widely predicting interest rates to fall longer term, which can drag savings rates down with it.
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“However, while its access Isas offer inflation-busting 4.00% headline rate, savers are very limited with the number of withdrawals that can be made.
“Many of market-leading easy access (deals) allow unlimited access and they currently pay around 4.50%.”
