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£116bn in UK Fixed-Rate Savings Set to Mature This Year, Threatening Rate Shock for Millions

CACI analysis indicates many expiring deals will drop to far lower easy-access rates without proactive switching.

Overview

  • More than £116 billion of fixed-rate balances are due to mature by year-end, split between £58.9 billion in non-ISAs and £57.5 billion in ISAs.
  • Average fixed rates on the maturing accounts are around 4.5%, while current easy-access averages stand at roughly 2.42% for non-ISAs and 2.70% for ISAs.
  • Over 3.5 million fixed-rate accounts could see sharply lower returns if funds roll into default variable products.
  • Some providers automatically move matured fixed-term savings into easy-access accounts, triggering the rate drop unless customers choose a new deal.
  • Skipton, which commissioned the analysis and survey, says it aims to move most customers to another fixed option where possible, as its polling finds 39% rarely or never switch due to complexity, preference for one provider, or access concerns.