Paragon Bank’s analysis of CACI data reveals that £53.9 billion in fixed-rate cash ISAs will mature between January and April. This total includes £36.4 billion in one-year fixed accounts and £15 billion in accounts with terms of 18 months to two years.
Last year, many savers moved to protect their savings from higher taxes on accrued interest. HMRC data shows the Personal Savings Allowance breach will generate £10.4 billion in the current tax year, a sharp rise from £1.4 billion in 2021/22.
Consequently, ISA balances grew significantly faster than non-ISA accounts. Between January and October 2024, cash ISA balances increased by £38.5 billion, while non-ISA accounts saw a more modest rise of £9.5 billion, according to CACI’s analysis of savings data from 40 major providers.