All savings members to receive 0.50% minimum rate
Leeds Building Society has taken the decision to increase the current minimum rate we pay all our members to 0.50%, which is double the current Bank Base Rate.
We believe we’re the only High Street financial services provider to pay a minimum rate of 0.50% across both ISAs and non-ISAs.
As a building society we’re owned by our members so our role is to balance the needs of them all, whether they’re savers or borrowers.
And while the prevailing interest rate environment has benefitted borrowers we’ve continued to work hard to support savers.
We paid an average 1.52% to our savers compared to the rest of the market average of 0.85%1, equating to an annual benefit to our savers of more than £70m.
The majority of our easy access savers will receive an increase or see no change, although a minority will receive a reduction.
The changes we’re making will align rates based on functionality and access to create a clearer, more consistent range for savers, including bringing some closed-issue products into line.
Communications to affected savers are going out over the next few weeks – the majority will receive an increase or see no change, although a minority will receive a reduction.
From 24th October, customers with taxable accounts and cash ISAs will currently be earning at least 0.5% interest. Those with an online account will get a minimum rate of 0.6% and accounts with restricted access will pay a minimum 0.75%.
Richard Fearon, Leeds Building Society Chief Commercial Officer said:
“We’ve been working hard to help savers in a challenging low interest rate environment and are proud to be bucking the trend by raising rates for many of our existing savers at a time when a lot of our competitors have been cutting rates.
“We believe we’re unique on the High Street in currently paying a minimum rate of 0.50%, double the current Bank Base Rate, to all of our saving members on both ISAs and non-ISAs.”
Notes to Editors
The Terms and Condition for all accounts affected are unchanged. The accounts remain variable, not linked to any other rate and can go up or down at any time.
Leeds Building Society operates throughout the UK, Gibraltar and Ireland and has assets of £17.3bn at 30th June 2017 (£14.9bn at 30th June 2016). The Society’s head office has been based in the centre of Leeds since 1886.
- CACI’s CSDB, Stock, May 2016 – April 2017. CACI is an independent company that provides financial services benchmarking data and covers 85% of the high street cash savings market