Santander savers set to lose out as bank announces string of rate cuts

No Isa season for Santander savers as bank prepares to slash tax-free savings rates to just 0.01%

Santander is slashing the rate on its Easy Isa from 0.1% to just 0.01%

Santander is slashing the rate on its Easy Isa from 0.1% to just 0.01%

Savers with Santander will suffer a string of rate cuts next month.

The bank is slashing the rate on its Easy Isa from a lowly 0.1 per cent to a derisory 0.01 per cent. 

The move will hit loyal customers who have built up £40,000 in savings. 

From April 6 they will earn just £4 interest a year, down from £40. The bank already pays 0.01 per cent to those with lower sums in the account. 

It is an unusual move at the start of the tax year, when providers used to boost rates to attract early-bird Isa savers looking to use their new £20,000 allowance.

Six days later, on April 12, the bank will halve the rate on its popular 1/2/3 current account from 0.6 per cent to 0.3 per cent, although the monthly fee will drop from £5 to £4.

A year ago the bank was paying 1.5 per cent. 

Savings accounts

source: dailymail.co.uk