Find out about Barclays Stockbrokers improved interest rates on cash balances held in a Barclays Stockbrokers SIPP, Investment ISA and Corporate ISA and what it means for you.
New ISA interest rates

Interest rates on cash balances

Interest is paid on cash balances of £1,000 or more held in:

Here are our interest rates. Interest is still paid quarterly.

Current interest rates

​Cash balance band ​Interest rate on this band only/AER1 ​Tax-free rate2
​£1 - £999 0% 0%​
​£1,000 - £49,999 ​0.2% pa ​0.2% pa
​£50,000 and over 0.5% pa​ ​0.5% pa

Rates are variable

As an example, on £100,000 held in cash, you receive no interest on the first £999, then 0.2% on the balance from £1,000 up to £49,999, then 0.5% on the final £50,000. So the interest received is a blend of the three tiers above and represent 0.348% on £100,000.

New interest rates

In line with the Bank of England’s decision to reduce interest rates, we will be reducing our interest rates on cash balances from 1 December 2016. Also, rates you receive will no longer be linked to Barclays Base Rate.

​Cash balance band ​Interest rate on this band only/AER1 ​Tax-free rate2
​£1 - £999 0% 0%​
​£1,000 - £49,999 ​0.05% pa ​0.05% pa
​£50,000 and over 0.25% pa​ ​0.25% pa

Our interest rates for both our ISA and SIPP accounts no longer directly link to the Barclays Bank Base Rate, but are managed by us instead (a “managed” rate) which are rates that we set and can change. For SIPPs, the interest has moved to a banded rate structure, which we already use for our ISAs. This means the interest rates apply only to the portion of the balance within each band, not on your cash balance as a whole. Each band of your overall cash balance receives different rates of interest to give you an overall blended rate.

All other rates and charges stay as they are.

But don’t confuse what we offer with a cash ISA. Both our ISA and SIPP accounts are primarily designed for those who want to hold investments. However, if you want to hold cash in your ISA or SIPP because you’re uncertain of market conditions, or need time to decide what to invest in, you’ll receive interest on all cash balances of £1,000 or more.

If you only want to hold cash in your ISA, then you’ll be able to find interest rates available in cash ISAs, and you can now transfer from an investment ISA to a cash ISA.

Our FAQs are designed to answer your questions about the changes to our interest rates.

In accordance with UK tax legislation from the 6th April 2016, bank interest is paid gross.  The management of your tax affairs is your responsibility, including making any required declarations to the relevant tax authority(ies), where you are tax resident.

Remember:

  • The value of your investments can fall as well as rise and you may get back less than you initially invested.
  • Investing is not for everyone, if you are unsure please seek independent financial and tax advice.

Ready to invest?

Open an Investment ISA transfer to us

1 AER (Annual Equivalent Rate) illustrates what the interest rate would be if interest was paid and compounded once each year.

2 Tax-free: Indicates that interest earned on cash held in an ISA or SIPP is not subject to UK Income Tax and will be paid gross, provided all ISA and SIPP conditions are met. The level and basis of tax can change and the value of tax relief depends on your personal circumstances.

3 Correct as at 7 January 2015.

Remember:

  • The value of your investments can fall as well as rise and you may get back less than you initially invested.
  • Investing is not for everyone, if you are unsure please seek independent financial and tax advice.
Open an Investment ISA Top up an Investment ISA transfer to us

FAQs

Get answers to commonly asked questions about the changes to our interest rates.

Full rates and charges


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