ISA round up - 23rd December
23/12/2025
The Bank of England's decision to cut Base Rate to 3.75% has had a mixed impact on the ISA market. Easy access rates have been cut swiftly and we expect them to drop below 4% by the end of January. However, 1 Year ISA best buy rates are holding up with four providers paying 4.30-4.32%, propping up the market as the chasing pack ease back. Elsewhere, the number of providers paying over 4% for 2, 3 and 5 Year ISAs is diminishing and we expect to be down to just a handful by the end of January. ISA rates traditionally are slower to cut than their taxable counterparts so don't be lulled in to a false sense of security that these rates are here to stay. Here's our round up of the best buys and key changes in Individual Savings Accounts:
Atom Bank are the new best buy paying 4.25% but this is only open to new subscriptions, not transfers in. Aldermore Bank, who pay 4.15% for their Single Access ISA are next alongside Teachers Building Society (who pay a higher rate of 4.20% for Teachers and Education professionals) on their Double Access ISA. Plum improved their rate to 4.12%, which includes a bonus of 1.58% for 12 months. Vida Savings Defined Access ISA pays 4.11% but drops to 2.50% if more than four withdrawals are made. Tembo Money pay 4.10% on their no catches ISA and Chorley Building Society pay the same rate but only three withdrawals are permitted from their ISA. Charter Savings Bank pay 4.08%.
Aldermore Bank pay a best buy 3.90% for their 60 Day Notice ISA. Paragon also pay 3.90% on their 40 Day Notice, but given easy access rates, it's difficult to justify going below these levels.
UBL Bank pay a best buy 4.32% ahead of Chetwood Bank, who pay 4.31% via Hargreaves Lansdown. Tembo Money pay 4.30% alongside Investec. Gatehouse Bank are next at 4.21% while Vanquis have cut their rate to 4.20%. Aldermore Bank pay 4.17% ahead of Zopa who cut to 4.15%. Kent Reliance and Virgin Money are tied at 4.11%.
UBL Bank lead the way paying a best buy 4.16% ahead of Aldermore Bank at 4.13%. Cynergy Bank pay 4.10% and Vanquis have cut to 4.09%. Kent Reliance also drop - to 4.02% - but stay ahead of Hampshire Trust Bank at 4%. Zopa and Furness Building Society both pay 4% too.
UBL Bank regain top spot, improving their rate to 4.17%, which moves them above Castle Trust Bank at 4.16%. Cynergy Bank at 4.15%, just ahead of Aldermore Bank at 4.13%. There's a big drop then to Charter Savings Bank at 3.96%.
Hampshire Trust Bank lead the way on 5 Year ISA paying 4.14%, ahead of UBL Bank at 4.13% and Castle Trust Bank at the same rate. Chetwood Bank pay 4.10% via Hargreaves Lansdown. Furness Building Society pay 4.05% with Paragon Bank at 4%.
Moneybox are top paying 4.25% although 1.20% of this is a 12 month bonus. Plum are next paying 4.12% - with 1.01% of this comprising a 12 month bonus. Tembo pay a straight 4.10%. Paragon Bank are a distant 3.51% with Bath Building Society paying 2.85%.