Fixed rate ISAs on the up

Rachel Thrussell, Head of Savings at Moneyfacts.co.uk, comments: “The last week has seen a raft of activity in the fixed rate ISA market, with six providers increasing rates by as much as 0.30%.

“Rates of around 6% can be easily found on both variable and fixed rate ISAs. This offers great choice for savers, for those who want piece of mind to know what their investment will return or for those who want the flexibility of a variable rate and are prepared to take the rate gamble in the hope that rates will rise further.

“Whether you choose a fixed or variable ISA, it should be the first port of call for any saver. Offering not only great rates, but is also tax free, so Gordon Brown won’t be able to take a slice of your interest.”