Nationwide raises savings rates on popular accounts after Bank of England hike: Full list of changes

Rates on the vast majority of Nationwide’s variable-rate savings accounts will rise by up to 0.25 percentage points from December 1, the building society has confirmed.

The announcement follows the Bank of England’s decision on November 5 to increase its base rate from 3.75 per cent to four per cent.

Nationwide’s changes cover limited-access accounts, children’s savings and instant-access products.

Limited-access savings accounts

The 1 Year Triple Access Saver and 1 Year Triple Access ISA will both pay 3.55 per cent following a 0.25-percentage-point increase. The new rates will apply to both new and existing customers.

The Reward Single Access ISA will rise to 3.05 per cent, while the Reward Saver and Reward ISA will each pay three per cent.

Children’s savings accounts

Rates on the Child Trust Fund, Junior ISA and Future Saver will each increase by 0.25 percentage points to 3.05 per cent.

Smart Limited Access will receive the same increase, taking its rate to 2.75 per cent.

Instant-access savings accounts

Flex Instant Saver will rise to 2.50 per cent.

Virgin Money will also increase rates on its off-sale variable-rate savings accounts, which are no longer available to new customers.

Those increases will be worth up to 0.25 percentage points and will also take effect from December 1.

Pella Frost, Nationwide’s Director of Everyday Banking, said: “Supporting our savers is important to us, which is why we have carefully reviewed our range and are increasing rates on the vast majority of our variable rate savings accounts following the Bank Rate change.

“We regularly review our rates, taking account of the wider market and the value we offer. These changes follow recent increases to our fixed rate products and the launch of our market-leading Member Exclusive Bond.

“We’d encourage customers to speak to us about our full range of savings products, whether in branch, online or over the phone, so that we can help them find the right account for their needs.”

Members signed up to Nationwide’s SavingsWatch service will be notified about the rate changes and any newly launched products on December 1.

However, some mortgage borrowers will face higher repayments.

Nationwide’s Standard Mortgage Rate will rise by 0.25 percentage points to 6.74 per cent from December 1.

Existing tracker mortgage rates will also increase by 0.25 percentage points, in line with the Bank Rate rise and the terms of customers’ mortgage agreements.

Ms Frost encouraged customers to review their options. Guidance is available in Nationwide branches, online and by telephone.

Savers could find better easy-access deals as providers compete following the rate rise, according to Sarah Coles.

“A rate rise is likely to mean some jostling at the top of the best-buy tables for easy access savings, so anyone who hasn’t switched recently could find a particularly strong deal,” she said.

Competitive accounts were already paying more than 4.5 per cent before the announcement, Ms Coles said.

She warned against delaying a switch in the hope of further increases.

“There are never any guarantees we’ll get the rate rises we expect, and in the interim your money may be languishing in a miserable account earning next to nothing.”

Fixed-rate accounts had already factored in several expected increases, with rates above five per cent available for terms of a year or longer, she added.

“If you have savings you don’t need for a period, you don’t need to wait for rate rises, as it’s already a decent time to secure a guaranteed rate.”