Rachel Reeves Cash ISA Shake-Up: Skipton’s 4.55% Deal Lands As Savers Face 2027 Tax Hit
Skipton Building Society launched an 18-month fixed-rate cash ISA at 4.55% AER, ahead of new rules that will cut the annual cash ISA allowance for under-65s to £12,000 from April 2027. The government will also raise the tax rate on savings income by 2 percentage points that year. Skipton’s account requires a £500 minimum and does not allow withdrawals during the term. Average one-year fixed ISA rates hit 4.01% in April.