M&S reduces variable Cash ISA rate

Following last week's 0.50% Bank of England Base Rate change, the M&S variable Cash ISA rate has changed from 2.50% to 2.00% AER/tax-free.

Last month, M&S Money reduced its variable Cash ISA rate by only 0.50%, rather than the full percentage point.

The variable Cash ISA interest rate is guaranteed to at least match the Bank of England's base rate until 1st January 2010.

M&S Money also offers a range of Fixed Rate Savings offering guaranteed interest rates over 1, 2 and 3 years up to 3.25% AER/gross. Fixed Rate Savings are available both inside and outside an ISA wrapper. This is a limited offer.