Full list of NatWest changes to hit accounts ‘within days’ | Personal Finance | Finance

NatWest is set to implement plans that will impact the savings of many customers by the end of May.

The banking behemoth has confirmed that it will reduce interest rates on four savings accounts from 30 May, which could result in customers earning less on their deposits. The affected accounts include the Help to Buy ISA, Flexible Saver, and Digital Regular Saver.

Further reductions are also anticipated for a number of other savings accounts and current accounts from 15 July. However, customers may still be able to maximise their savings as the interest rate cuts will vary depending on the amount of money held in each account.

This move follows the Bank of England’s (BoE) announcement that it would lower the national base rate from 4.5% to 4.25% this month. The base rate is used by the BoE to levy charges on other banks when they borrow money, meaning many savings rates and mortgage rates are directly impacted by changes to the base rate.

Here is the full list of affected accounts:.

From 30 May.

Digital Regular Saver – From 6.17% to 5.50% for under £5,000 or from 1.25% to 1.15% for over £5,000.

Full list of affected accounts

From May 30

• Digital Regular Saver – From 6.17% to 5.50% for under £5,000 or from 1.25% to 1.15% for over £5,000
• Help to Buy ISA – From 2.20% to 2.05%
• Flexible Saver – From 2.70% to 2.55% between £250,000 to £999,999 or from 2.70% to 2.55% over £1,000,000
• Savings Builder – From 2.% to 1.75% up to £10,000 or from 1.25% to 1.15% over £10,000

From July 15

• First Reserve – From 1.25% to 1.15%
• First Saver – From 2.25% to 2.05%
• Adapt Account – From 2.25% to 2.05%

Primary Savings

From July 15, Primary savings rates will drop depending on the following balances:

• Between £1 to £24,999 – 1.25% to 1.15%
• Between £25,000 and £99,999 – 1.85% to 1.70%
• Between £100,000 and £240,999 – 2.10% to 1.95%
• Between £250,000 to £999.999 – 2.70% to 2.55%
• £1,000,000 or over – 2.70% to 2.55%

How to reduce the impact of the cuts

Customers can mitigate the impact of these reductions by moving additional funds into their savings to potentially reach a higher balance bracket before the changes take effect. It’s crucial for customers to review their current NatWest account, assess their balance, and consider if they can increase it to benefit from a better savings rate.

A NatWest spokesperson commented on the adjustments: “Following the Bank of England base rate cut, we will be passing on the rate cut in full to our customers on a Standard Variable Rate (SVR) mortgage. SVR will be reduced from 7.49% to 7.24%, effective from June 1.”

They added: “SVR customers may also be able to save money by switching to one of our fixed rate mortgages. Following the Bank of England base rate cut, we have made reductions to some of our variable rate savings accounts.”

NatWest has assured that it will inform customers well in advance, providing at least 14 days’ notice before any changes are implemented. The bank has already updated its website with all the relevant information regarding the interest rate cuts.

Customers can find comprehensive details on the NatWest website here.