Nationwide unveils new vary of money Isas paying greater than 4% together with a finest purchase

Nationwide has launched a number of new tax-free savings accounts with a month to go until the end of the financial year.

Britain’s biggest building society has four new fixed-rate Isas. Its one, two and three year fixes come with a 4.05 per cent rate.

This catapults it up the independent This is Money best buy savings tables, with only a handful of smaller providers offering higher rates.

Meanwhile, it has launched a five-year fixed rate Isa with a 4.25 per cent rate. This bucks the trend in recent years of shorter term deals offering higher rates than longer fixes.

This five year fix is a clear best buy in our tables, but it is a big commitment to lock away cash until 2031.

If you need to access money for an emergency during the term, it is penalised with an early-access charge equivalent to 300 days’ interest. All the accounts can be opened online or in-branch.

Table topping: Nationwide is offering a fixed-rate five year Isa with a rate of 4.25% – but a long-term fix is a huge commitment 

Elsewhere, it has launched a new one year single access saver paying a lower 4 per cent. This allows access once without penalty throughout the year.

It has a non-Isa version of the account also paying 4 per cent that allows access once penalty free.

These replace deals that offered access three times a year – but came with a lower rate of 3.3 per cent. 

Richard Stocker, head of savings at Nationwide, said: ‘We’re pleased to be increasing rates across our Isas and our instant access savings product, giving members even more long-term value and meaningful benefits.

‘Combined with our branch promise, we’re proud to be bringing even more value to the high street, further demonstrating our commitment to offering positive, competitive rates for our members.’

It comes hot on the heels of Investec, who launched a new one-year fixed-rate Isa paying a table-topping rate of 4.2 per cent yesterday.

And a number of providers are new offering easy-access cash Isas paying more than 4.5 per cent, although they are mainly offered by investment platforms.

The current Isa allowance is £20,000 for this tax year. The allowance refreshes on 6 April for the 2026/27 tax year.

This can be used for cash Isas and stocks and shares Isas – with the full allowance allowed in cash. 

But from April 2027, under 65s will have a smaller £12,000 limit for cash, but can still use the full allowance of £20,000 if they invest. 

For example, they’ll be able to tuck £12,000 in a cash Isa, and use the remainder in a stocks and shares.