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ISAs

The current tax year ends on Tuesday 5 April 2016

ISAs (individual savings accounts) are a way of saving money without paying personal tax on interest or returns you earn. There are two main types of ISA that we offer, cash ISAs and stocks and shares ISAs.

2015/16 ISA allowance

  • HM Treasury set a limit on the amount that can be paid into ISAs each tax year; the figure for the current year is £15,240.
  • Your annual allowance can be used in either a cash ISA, a stocks and shares ISA, or any combination of the two.
  • You can only contribute to one cash ISA (this includes the Help to Buy: ISA) and/or one stocks and shares ISA in each tax year (unless you are entitled to Additional Permitted subscriptions).
  • The Help to Buy: ISA allowance is lower than the overall ISA allowance as you can only make an initial deposit of up to £1000 and up to £200 per calendar month (including the month of account opening). Your remaining allowance can only be invested in to a stocks and shares ISA (contributions to a Help to Buy: ISA and a Stocks and Shares ISA should not exceed the overall limit of £15,240).
  • Save up to £4,080 for your children and earn a variable rate of 3.00% tax free/AER with our Junior Cash ISA.

Cash ISAs are a form of savings account where you won’t have to pay tax on the interest you earn on your savings. You must be 16 or over and resident in the UK for tax purposes to apply for a cash ISA. All our cash ISA accounts (apart from the Junior Cash ISA) can be managed online. You can also transfer your existing ISA and make additional deposits.

Account
Interest rate
Features

Help to Buy: ISA
2.00% tax free/AER variable
  • Open an account with up to £1000 and pay in up to £200 a month (including the month in which the account is opened)
  • Receive a bonus of 25% of your final balance from the Government’s Help to Buy scheme if you meet the qualifying criteria. Save at least £1,600 for the minimum bonus of £400, the maximum bonus is £3,000
  • Unlimited withdrawals (you will not be able to claim any Help to Buy bonus on any withdrawn funds)
  • Available only for first time buyers saving for their first home with a property value of no more than £250,000 (£450,000 within London)
  • Interest is paid yearly

Cash ISA Saver
0.65% tax free/AER variable on balances of £40,000+
0.60% tax free/AER variable on balances £1-£39,999.
Accounts opened will receive the rates above for 12 months. After 12 months your account will automatically change to an Instant Cash ISA, currently paying 0.25% tax free/AER variable on all balances.
  • Open from just £1.
  • Unlimited withdrawals.
  • Instant access to your money.
  • Interest is paid yearly.

Find out more

2 Year Fixed Rate Cash
ISA
1.10% tax-free/AER fixed on balances of £40,000+
1.00% tax-free/AER fixed on balances of £1-£39,999.
  • Open with £3,000, interest is paid at a fixed rate on balances over £1.
  • You can access your money, but you will lose tax free interest on any amount you take out (180 days for the 2 Year term), so you may get back less than you originally deposited.
  • Manage online, transfer previous years' ISAs subscriptions and make additional deposits up to the annual ISA allowance.
  • Interest is paid yearly or monthly (this may be at a lower rate)

Find out more

Junior Cash ISA 3.00% tax-free/AER variable
  • Save for your child’s future and open from £1.
  • A child can ask to take control of their account at any time from their 16th birthday.
  • Children who are 16 or over can open the account themselves.
  • No withdrawals are allowed until the child is 18, when the account matures into an adult cash ISA.
  • Interest is paid yearly.
  • Apply online today and manage the account in branch. If you have a Child Trust Fund please visit your local branch in order to open the account.

Apply now for a Junior ISA for a child under 16

Apply now for a Junior ISA if between 16 and 17 years of age.

Find out more

Tax treatment depends on individual circumstances and may change in the future.

Stocks and Shares ISAs and Share Dealing ISAs

ISAs can be used to invest tax efficiently in both UK and global stock markets. No Capital Gains Tax is payable on profits, and higher and additional rate taxpayers don’t have to pay the higher or additional rate tax on any gross dividends from shares held in ISAs. They are available to UK residents aged 18 and over.

Product
Details

Stocks and Shares ISA
  • Invest tax efficiently
  • Choose from our three managed growth funds
  • Apply online via Internet Banking

Share Dealing ISA
  • Select from a variety of investments, including shares, gilts, bonds, and funds
  • Invest in UK and global markets
  • Deal online or by phone and access your account online whenever you want

Tax treatment depends on individual circumstances and may change in the future.

The value of your investment and the income from them can go down as well as up and you may get back less than you originally invested. You must be at least 18 or over to open a stocks and shares ISA.

THE VALUE OF YOUR INVESTMENTS AND THE INCOME FROM THEM CAN GO DOWN AS WELL AS UP AND YOU MAY GET BACK LESS THAN YOU ORIGINALLY INVESTED. YOU MUST BE AT LEAST 18 OR OVER TO OPEN A STOCKS AND SHARES ISA.