UK’s Atom bank has launched its Easy Access Cash Individual Savings Account (ISA).
The new ISA features a tax-free variable interest rate of 4% AER on new deposits. This account was created in response to a growing demand for tax-efficient savings products, especially following the announcement of a potential reduction in the annual tax-free cash ISA limit in the UK.
According to HMRC data, ISA subscriptions surged during the 2023/24 tax year, with 15 million ISA accounts opened and £103 billion deposited. Cash ISAs saw a remarkable increase of 67%.
Chris Storey, chief commercial officer at Atom bank, commented: “As the cost of living remains a concern and with Christmas approaching, people are focused on making their money work harder. The frozen Personal Savings Allowance has highlighted the tax impact on returns.”
Storey further stated, “With the Budget approaching and speculation about potential changes to the annual tax-free allowance, now is a critical time for savers to maximize their tax-efficient savings.”
In April 2025, Atom bank implemented an AI decisioning platform powered by Provenir.