Back to March 2017

New tax-free savings range for the new financial year

Leeds Building Society has launched a range of new fixed rate ISAs in readiness for the new financial year:

  • 1.01% tax-freepa/AER* one year fixed rate ISA
  • 1.15% tax-freepa/AER* two year fixed rate ISA
  • 1.20% tax-freepa/AER* three year fixed rate ISA
  • 1.60% tax-freepa/AER* five year fixed rate ISA

“Our ISAs were consistently in demand throughout 2016 and we’ve refreshed our range ahead of the start of the new financial year,” said Richard Fearon, Leeds Building Society’s Chief Commercial Officer.

“We offer some of the best rates on the High Street on our tax-free products, and all our fixed rate ISAs pay above 1%, more than four times the current Bank Base Rate.

“While the Personal Savings Allowance§ benefits the majority of savers, there is still a place for tax-free saving through ISAs, which can protect your money from the taxman in the longer term.”

All Leeds Building Society’s ISAs allow transfers in of previous years’ ISA subscriptions so savers can maximise the benefits of receiving their interest tax-free.

The Society’s fixed rate ISAs have a minimum investment of £100 and it also offers a range of variable rate ISAs paying up to 0.90%.

Ends

Notes to Editors

Tax-free means that interest payable is exempt from income tax.

*AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and added each year.

  • From 6th April 2016, basic rate taxpayers can earn up to £1,000 in savings income tax-free. Higher rate taxpayers can earn up to £500.

The ISA subscription limit for the 2016/2017 tax year is £15,240, less any amount invested in a Stocks and Shares ISA in the same tax year. The subscription limit will rise to £20,000 for the 2017/2018 tax year.

Key Features

1.01% one year fixed rate ISA (Issue 93)

  • 01% tax-freepa/AER* one year fixed rate ISA
  • Minimum Investment £100
  • Maximum investment is £15,240 in 2016/2017, £20,000 in 2017/18
  • Maturity interest is paid on 30th April 2018 (credited to the account or another account)
  • On maturity on 30th April 2018 the account reverts to a variable rate instant access ISA account
  • Withdrawals subject to 60 days’ loss of interest
  • Can be opened online, in branch or by post, and operated in branch or by post

1.15% two year fixed rate ISA (Issue 88)

  • 15% tax-freepa/AER* two year fixed rate ISA
  • Minimum Investment £100
  • Maximum investment is £15,240 in 2016/2017, £20,000 in 2017/18
  • Annual interest paid on 30th April, commencing 30th April 2018 (credited to the account or another account)
  • On maturity on 30th April 2019 the account reverts to a variable rate instant access ISA account
  • Withdrawals subject to 150 days’ loss of interest
  • Can be opened online, in branch or by post, and operated in branch or by post

1.20% three year fixed rate ISA (Issue 49)

  • 20% tax-freepa/AER* three year fixed rate ISA
  • Minimum Investment £100
  • Maximum investment is £15,240 in 2016/2017, £20,000 in 2017/18
  • Annual interest paid on 30th April, commencing 30th April 2018 (credited to the account or another account)
  • On maturity on 30th April 2020 the account reverts to a variable rate instant access ISA account
  • Withdrawals subject to 240 days’ loss of interest
  • Can be opened online, in branch or by post, and operated in branch or by post

1.60% five year fixed rate ISA (Issue 61)

  • 60% tax-freepa/AER* five year fixed rate ISA
  • Minimum Investment £100
  • Maximum investment is £15,240 in 2016/2017, £20,000 in 2017/18
  • Annual interest paid on 3rd May, commencing 3rd May 2018 (credited to the account or another account)
  • On maturity on 3rd May 2022 the account reverts to a variable rate instant access ISA account
  • Withdrawals subject to 365 days’ loss of interest
  • Can be opened online, in branch or by post, and operated in branch or by post

Leeds Building Society won the awards for Best Building Society Savings Provider and Innovation in Personal Finance (Part and part mortgages) at the 2016 Moneyfacts Awards.

Leeds Building Society operates throughout the UK, Gibraltar and Ireland and has assets of £15.9bn (at 31st December 2016). The Society’s head office has been based in the centre of Leeds since 1886.